When property rights are poorly-defined,a setting with large numbers of people suggests _____
A)an intractable problem
B)high transactions costs
C)low transactions costs
D)an active role for government
E)both b and c

Question

Quizplus · Accepted Answer

When property rights are poorly defined, transactions costs tend to be high because it becomes more difficult and costly to negotiate and enforce agreements.

When Property Rights Are Poorly-Defined,a Setting with Large Numbers of People