If absolute property rights to an endangered resource are granted to someone who inefficiently manages the resource, explain what the Coase theorem predicts will happen to that resource
What will be an ideal response?
The inefficient management of the resource creates an opportunity for someone who can manage and use it better to purchase the resource. According to the Coase theorem, the property rights to a resource will be acquired by the party that values it most.
Economics
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Positive economic profits exist for a firm in the long run if price is above
a. long-run average cost. b. long-run marginal cost. c. long-run total cost. d. long-run variable cost.
Economics
If as a result of NAFTA the demand for American exports rises, it would tend to increase the exchange value of the U.S. dollar as a result
a. True b. False Indicate whether the statement is true or false
Economics