The coase theorem is significant because itnbspshows that


The Coase Theorem is significant because it

a) shows that it is crucially important how property rights are assigned.

b) demonstrates that there are no transactions costs involved with correcting externalities.

c) demonstrates that asymmetric information leads to serious market failures.

d) shows that under certain conditions externalities can be corrected in the market without the need for government action.

e) clearly defines the dividing line between public and private goods.

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Business Economics: The coase theorem is significant because itnbspshows that
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