The Coase Theorem Is the Proposition That If Property Rights

question 242

Multiple Choice

The Coase theorem is the proposition that if property rights exist, the number of parties is small, and transactions costs are low

• A) external costs result in deadweight losses.
• B) external benefits result in deadweight losses.
• C) private transactions are efficient.
• D) public transactions are efficient.

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Definitions:

Benefit

The advantage or positive impact that one receives from using a product, service, or undertaking an action, offering improvement or value.

Trial Close

A sales technique where the seller asks potential buyers questions that assume the sale has been made to gauge their readiness to complete the purchase.

Features And Benefits

Explanation highlighting product or service attributes (features) and how they fulfill users' needs or desires (benefits).

Psychological Need

An intrinsic motive or desire that drives individuals to pursue goals or activities that fulfill emotional or mental requirements.