The Coase Theorem is the proposition that private economic transactions are efficient if the number of involved parties is small, if property rights ________, and transactions costs are ________

The Fed can attempt to increase the federal funds rate by

A) selling government bonds, which increases the money supply. B) selling government bonds, which decreases the money supply. C) buying government bonds, which increases the money supply. D) buying government bonds, which decreases the money supply.

Halibut tends to be much more expensive than cod. According to the economic way of thinking, relatively high halibut prices can be explained by

A) using the theory of supply and demand. B) pointing out the cause—Halibut boats are often more expensive than boats used to fish for cod. C) acknowledging the price differential is unfair to consumers of halibut. D) acknowledging the price differential is unfair to cod fishermen.