Briefly explain the Coase Theorem. Suppose that the conditions for the Coase Theorem hold; that is, property
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Briefly explain the Coase Theorem. Suppose that the conditions for the Coase Theorem hold; that is, property rights for a resource are clearly established and bargaining costs are low. If so, what are the efficiency consequences if the government imposes a Pigouvian tax equal to the marginal external damage of production? Discuss.
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Microeconomics An Intuitive Approach with Calculus
ISBN: 978-0538453257
1st edition
Authors: Thomas Nechyba
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