Examlex
Which of the following cases is an infamour miscarriage of justice case known as the 'Birmingham Six' case where six men were convicted to life imprisonment for planting bombs in 1975?
Coase Theorem
The Coase Theorem posits that if trade in an externality is possible and there are no transaction costs, bargaining will lead to an efficient outcome regardless of the initial allocation of property.
Externality Problems
Occurrences in which the production or consumption of goods and services imposes costs or benefits on third parties not involved in the transaction.
Government Intervention
The involvement by government in the market to influence the allocation of resources and distribution of income.
Coase Theorem Solution
A theory suggesting that if trade or negotiation over property rights is allowed without cost, parties can reach an agreement regarding the allocation of resources regardless of the initial allocation.
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