The Coase Theorem explains how the ________ can come to a socially optimal solution.

If the United States and Mexico trade Budweiser for Modelo beer, what type of trade does this represent?

What will be an ideal response?

Assume that the government can reduce car pollution using either a corrective tax or a regulatory scheme, both of which will achieve the same results in the short-run

In the long run, however, the regulatory scheme will be more efficient because it provides incentives to avoid the regulation altogether. a. True b. False