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economics exam and would prefer that Maggie not play music. Latoya values silence at $50. Maggie values her music at $20. Assume the roommates can
economics exam and would prefer that Maggie not play music. Latoya values silence at $50. Maggie values her music at $20. Assume the roommates can bargain with zero transactions costs. Which of the following is true? 1 2 Latoya and Maggie are roommates Maggie likes to play music in their dorm room every evening. Tonight, Latoya needs to study for her points Multiple Choice Q It is efficient for Maggie to play her music. O The university should offer a subsidy for noise-cancelling headphones. O Maggie and Latoya will not be able to reach efficiency in this situation. It is efficient for Maggie to refrain from playing music tonight
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