Ronald Coase points out that a market failure does not arise simply because people ignore the external

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Ronald Coase points out that a market failure does not arise simply because people ignore the external cost of their actions. What other condition is necessary? What did Coase consider to be the efficient solution to a negative externality?

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Microeconomics A Contemporary Introduction

ISBN: 978-1111415921

9th edition

Authors: William A. McEachern

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Question Posted: Dec 12, 2015 05:28 AM

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Ronald Coase points out that a market failure does not arise simply because people ignore the external

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Coase argues that a negative externality results from the incompatible activiti...View the full answer

Microeconomics A Contemporary Introduction

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