Which of the following statements about Coasian reasoning is true?
a. Coasian reasoning lacks symmetry, it does not provide a starting point for negotiations toward an efficient outcome.
b. Coasian reasoning emphasizes on the benefits received by the person having more rights compared to the others in the group.
c. Coasian reasoning explains how the costs and benefits of a transaction are distributed among the parties.
d. Coasian reasoning provides a starting point for negotiations toward an efficient outcome, if the cost of negotiation is low.
D
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Automobile manufacturers often use incentive programs, including special financing rates and cash rebates, to increase sales. However, a customer is usually restricted to choosing either the low financing rate or the rebate, but not both
Is this an example of price discrimination? If so, what type? Explain your reasoning.
If the real wage is below the equilibrium real wage, there would be a ________ of workers and the real wage would ________
A) surplus; decline B) surplus; rise C) shortage; decline D) shortage; rise
By far, the best way to measure the standard of living of people in a country is the value of the country's GDP per capita
a. True b. False Indicate whether the statement is true or false
Suppose you order a slice of pepperoni pizza and a soda at a shopping mall food court. What are examples of the opportunity costs of this decision?
What will be an ideal response?