Reaching an Efficient Bargain Is Difficult When the

question 491

Multiple Choice

Reaching an efficient bargain is difficult when the

• A)externality is large.
• B)number of interested parties is large.
• C)externality is negative.
• D)government becomes involved.

---

Definitions:

Functions

The roles or activities that an individual, system, or entity is designed or expected to perform.

Negotiate

The process of discussing and arriving at a mutual agreement between parties with different interests or perspectives.

Sender

The originator of a message in the communication process, responsible for encoding the message.

Receiver

The individual or entity for whom a message is intended or who interprets the communication.