The Coase theorem will hold only if: people can make enforceable agreements. there are very low or no transactions costs. people are altruistic.
A)I only
B)II and III only
C)I and II only
D)I, II, and III

Question

Quizplus · Accepted Answer

The Coase theorem holds under the conditions where people can make enforceable agreements and there are very low or no transaction costs. Altruism is not a requirement for the Coase theorem to apply.

The Coase Theorem Will Hold Only If: People Can Make