The fact that stolen goods command lower prices on the market:
A)indicate that a reduction of property rights reduces wealth.
B)proves that markets are not efficient.
C)means that property rights are absolute.
D)shows thieves have poor judgment.

Question

Quizplus · Accepted Answer

The fact that stolen goods command lower prices on the market indicates that property rights are not respected, which leads to a reduction of wealth for the owner of the stolen goods. This is a demonstration of how property rights are a necessary condition for efficient markets and the creation of wealth. It does not necessarily mean that markets are not efficient or that thieves have poor judgment.

The Fact That Stolen Goods Command Lower Prices on the Market