Answer:
a. Asarta Inc. could pay the fishermen $8,500 and keep polluting
Explanation:
The fishermen sell the fish for $8,000 a year at local market.
Due to pollution emitted by company into stream, their catch is dwindling and also their income.
The company benefits from usage of stream to the tune of $4,000 a year. In such scenario, if company compensates the fishermen for any amount between $8,000 and $40,000 then, in that case, optimal solution to the problem can be achieved in absence of any other transaction cost as per the Coase Theorem.
Therefore, The Asarta Inc. could pay the fishermen $8,500 and keep polluting.
Please attach the graph if you can. Otherwise, I cannot answer this question
Answer:
increase price per ticket.
Explanation:
increase price per ticket in proportion to cost incurred.
set up an internal control system to ensure all revenue from ticket are well accounted for.
-no distractions
-clean working area
-full night's rest
-large cup of coffee (optional)
