According to the Coase Theorem, the Private Market Can Achieve

question 87

Multiple Choice

According to the Coase theorem, the private market can achieve an efficient outcome:

• A) as long as the enforcement of property rights costs less than the marginal benefit of emissions.
• B) only if the property right to clean air is assigned to the polluter.
• C) only if the property right to clean air is assigned to the party harmed by pollution.
• D) if property rights are well defined and bargaining is costless.

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Definitions:

Permissive Parents

Parenting style characterized by low demands with high responsiveness, where parents are lenient and avoid confrontation.

Authoritarian

A governance or leadership style characterized by strict adherence to authority and control, with little freedom for subordinates.

Strict

Involves rigid enforcement or exacting adherence to specified guidelines or standards.

Permissive

A parenting or leadership style characterized by low demands with high responsiveness, where rules are minimal and children are largely allowed to regulate their own behavior.