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minimum per person transaction cost

Four people:

Person A whose profit is 84X-6X^2
Person B whose profit is $30-6X
Person C whose profit is $75-10X
Person D whose profit is $100-8X

Person A has property rights, meaning they can set the value of X from 0 to 8. Each person must have the same cost of negotiation with each other. What is the minimum per person transaction cost that would result in no bargaining at all?

Solution Summary

Determine minimum per person transaction cost.

$2.19