Questions:
1.Can the problems of imperfect and asymmetric information be used to enrich Coase's theory of the firm? How?
2."Time is important in roundabout production but not in direct production." Is this statement true or false? Explain. Why does the demand curve for loanable funds slope down? Why does the supply curve for loanable funds slopes upward?
3.Can the explanations of the "boundaries of the firm," as developed in this unit - be used to explain the bounds of the family? That is, why are extended families (involving more than two generations) common in some nations, but not in others?