The assumptions needed for the Coase theorem to work _______ in the real world.
A)are often observed
B)often do not hold true
C)never hold true
D)always hold true

Question

Quizplus · Accepted Answer

The Coase theorem assumes conditions such as no transaction costs and perfect information, which often do not hold true in the real world, making the practical application of the theorem challenging.

The Assumptions Needed for the Coase Theorem to Work _______