3. [3 points} In eastern Washington a conflict of property rights arose recently. Certain species of pine trees, used only for ornamental purposes, carried a disease that could destroy apple orchards within a radius of 2 miles. There is no known way of curing the disease except by destroying the pine trees or by ensuring that apple orchards were at least 1 mile away from the pine trees. a. What guidance does Coase theorem give to resolve this conflict? Discuss which assumptions of the Coase theorem are likely to hold true and which ones are not. b. Does it make any difference to the efcient outcome whether the pine tree owners are entitled to retain their trees or the apple growers are entitled to be free of them? Why or why not