Discuss the Coase Theorem. What this theory imply about the role of goverment in dealing with market externalities?
The "Coase Theorem" given by Ronald Coase, describes the economic efficiency of an economic allocation or outcome in the presence of externalities. The theorem states that when trade in an externality is possible and there are no transaction costs, bargaining will ...
The "Coase Theorem" given by Ronald Coase is explained.