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Nancy Loves to Landscape Her Yard,but Her Neighbor Lee Places

Question 345

Multiple Choice

Nancy loves to landscape her yard,but her neighbor Lee places a low value on his landscaping.When Lee's grass is neglected and gets long,Nancy will mow it for Lee.This is an example of


A) a situation in which the Coase theorem fails to explain the lawn mowing arrangement.
B) an improper allocation of resources.
C) a private solution to a negative externality problem.
D) an exploitation of a common resource.

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