Multiple Choice
The Coase theorem states that
A) under certain circumstances government intervention is not needed to reach efficient outcomes when an externality is present.
B) government intervention is always required to reach an efficient outcome when an externality is present.
C) government intervention cannot lead to an efficient outcome when an externality is present.
D) only negative externalities can be resolved using government intervention.
Correct Answer:
Verified
Correct Answer:
Verified
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