3. The neoclassical theory of the firm suggests that firms produce outputs by combining inputs that were produced in a market from other individuals and
3. The neoclassical theory of the firm suggests that firms produce outputs by combining inputs that were produced in a market from other individuals and firms. They do this because some other firm will have a comparative advantage in producing the input they use. Yet, firms produce some of their own inputs. Explain Ronald Coase's theory for why firms do this
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