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3 years ago

A coase solution to a problem of externality insures ensures that a socially efficient outcome is to:

Business

1 answer:

Zinaida [17]3 years ago

5 0

Answer:

The correct answer is letter "C": maximize the joint welfare, irrespective of the right of ownership.

Explanation:

Named after British economist Ronald Coase (1910-2013) the Coase Theorem is a legal and economic theory which states that, when there are competitive markets and no transaction costs, bargaining will result in an effective and mutually beneficial outcome irrespective of how property rights are distributed.

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When a government collects more revenue in one year than it spends, there is a budget?

murzikaleks [220]

This is a profit, which increases next year's budget.

4 0

3 years ago

Rusty Corporation purchased a rust-inhibiting machine by paying $56,500 cash on the purchase date and agreed to pay $11,300 ever

kolbaska11 [484]

Answer:

Find the multiple choices below:

A) 133,900

B) 82,400

C) 123,803

D) 79,323

The correct option is D,79,323

Explanation:

The liability to be reported can be ascertained by using the pv formula in excel.

The pv implies present value of future cash flows of $11,300 every three months.

The applicable formula is :=-pv(rate,nper,pmt,fv)

the rate is quarterly rate of 12%/4=3%

nper is the number of times the $11,300 would be paid 2*4=8 times

pmt is the quarterly payment of $11,300

fv is the future value which is unknown and taken as zero

=-pv(3%,8,-11,300,0)

pv=$79,322.52

This is the liability that would be shown on the balance sheet after the initial payment of $56,500

4 0

3 years ago

Why should a country trade with other

solmaris [256]

B is the most reasonable answer

3 0

2 years ago

_____ benefit(s) from large economies of scale, in which the costs of goods decrease as output increases. natural monopolies per

adelina 88 [10]

Natural monopolies benefit from large economies of scale, in which the costs of goods decrease as output increases.
A natural monopoly is a distinct type of monopoly that may arise when there are extremely high fixed costs of distribution, such as exist when large-scale infrastructure is required to ensure supply.

8 0

2 years ago

The law of diminishing returns states that as additional increments of resources ______________, the marginal benefit from those

const2013 [10]

Answer:

are added; will decline eventually

Explanation:

the point of diminishing returns sets in when the optimum capacity has been attained. at this level, increasing production by any extra unit would only bring about little or Fall in output.

if we hold the other factors of production constant/fixed while increasing one input, we will get toa stage where more additions of this input by one unit would only bring about decrease in output or cause output to fall.

therefore in summary this law States that as more increments are added, marginal benefit from increments declines eventually.

4 0

3 years ago