According to the Coase theorem, whatever the initial distribution of rights, the interested parties can bargain to an efficient outcome.

Name: According to the Coase theorem, whatever the initial distribution of rights, the interested parties can bargain to an efficient outcome.
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The Coase theorem posits that if trade in an externality is possible and there are no transaction costs, bargaining will lead to an efficient outcome regardless of the initial allocation of rights.

According to the Coase Theorem, Whatever the Initial Distribution of Rights