When Private Ownership Rights Are Well-Defined and Enforced, Owners of Physical

question 235

Multiple Choice

When private ownership rights are well-defined and enforced, owners of physical assets and resources

• A) have no incentive to consider the desires of others.
• B) incur the opportunity cost of ignoring the wishes of others.
• C) are not responsible if the use of their assets impose harm on others.
• D) have little incentive to take care of their assets.

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Definitions:

Cost Of Debt

The effective rate that a company pays on its total debt, acting as a measure to understand the financial health and leverage of a company.

CCA Class

Refers to the Canadian tax system's categorization of depreciable property into classes, with each class having its own rate for capital cost allowance purposes.

Corporate Tax Rate

The percentage of a corporation's profits that are paid to the government as tax, varying by country and sometimes also by the size or type of corporation.