List and discuss three problems that might arise when using the Coase theorem.

What will be an ideal response?

Bargaining costs are generally not zero. Identifying damages is difficult. There is generally
some amount of asymmetric information.

Economics

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Refer to Table 17-2. The firm represented in the diagram

A) has market power in the output market. B) has market power in both the factor and product market. C) has market power in the factor market. D) has no market power in the factor or product market.

Economics

American economic history actually is a study of

(a) stable population growth. (b) how colonial Americans worked side-by-side with the natives to produce stable economic growth and wealth for all individuals. (c) how a small, inconsequential economy grew into a giant economy through a series of successes and failures. (d) how people in other countries created problems for colonial Americans of the past as well as U.S. citizens of today.

Economics