The Coase theorem states that
A. positive externalities are directly related to the weather-the better the weather, the more positive externalities.
B. in the case of trivial or zero transaction costs, negative externalities are more likely to appear.
C. when transaction costs are high, positive externalities will be minimized.
D. in the case of trivial or zero transaction costs, the property rights assignment does not matter to the resource-allocative outcome.
Answer: D
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Refer to the table above. What is the surplus in the market when the price of a notebook is $9?
A) 16 units B) 20 units C) 24 units D) 26 units
"Equilibrium" is a situation in which there are no inherent forces to produce change
a. True b. False Indicate whether the statement is true or false
The PPF between goods X and Y will be a downward-sloping
A) straight line if increasing opportunity costs exist. B) straight line if decreasing opportunity costs exist. C) curve that is bowed inward if increasing opportunity costs exist. D) straight line if constant opportunity costs exist.
What is the most likely reason that snack foods sold in vending machines are so much more expensive than snack foods sold in grocery stores?
A. Snack foods sold in vending machines come in smaller packages, so the per-package costs are higher. B. Grocery stores buy in bulk, while vending machine companies tend to buy in smaller quantities. C. People who purchase snack foods from vending machines tend to have less elastic demand for snack foods. D. Owners of vending machine companies are greedier than owners of grocery stores.