When Producers Are Hard to Monitor and Property Rights Are

question 17

Multiple Choice

When producers are hard to monitor and property rights are too costly,________ are an effective method to achieve efficient use of a ________.

• A) individual transfer quotas; public good
• B) making a government payment equal to the marginal private benefits; public good
• C) individual transferable quotas; common resource
• D) individual transferable quotas; excludable good
• E) making a government payment equal to the marginal private costs; common resource

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Definitions:

Wrongful Dissociation

In a partnership or company context, the improper withdrawal or separation of a partner or member contrary to the terms of the agreement.

Legal Existence

The state of being recognized as a juridical entity under the law, capable of rights and obligations.

Senior Partner

The most experienced or highest-ranking partner in a partnership or law firm.

Management Decisions

Choices or judgments made by the management of an organization regarding its operations, strategic direction, and allocation of resources.