If Transactions Costs Are Low,then Assigning Property Rights in a Market

question 20

Multiple Choice

If transactions costs are low,then assigning property rights in a market with external costs
i.increases the deadweight loss.
ii.means private transactions are efficient.
iii.means that only consumers must pay the external costs.

• A) i only
• B) ii only
• C) ii and iii
• D) i and iii
• E) i and ii

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Definitions:

Procedural Justice

The perceived fairness of the processes and methods used to make decisions and resolve disputes.

Decision-Making Process

A systematic approach involving the identification of a decision to be made, gathering information, assessing alternative resolutions, and choosing among them.

Diversity

The inclusion of individuals with a variety of characteristics, such as cultural background, ethnicity, gender, and skills, within a group or organization.

Multicultural Workforce

A labor force comprising employees from various cultural backgrounds, enhancing diversity in the workplace.