According to the ________,as long as property rights are clearly defined,two agents can always bargain to reach the efficient outcome.
A) Coase theorem
B) Ricardian theory on rent
C) revenue equivalence theorem
D) envelope theorem

Question

Quizplus · Accepted Answer

The Coase theorem states that, in the presence of well-defined property rights, agents can bargain and reach a mutually beneficial solution, resulting in an efficient outcome. Therefore, the correct option is (A) Coase theorem. The other options are related to different economic theories and principles.

According to the ________,As Long as Property Rights Are Clearly