One of the implications of the Coase theorem is that

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The Coase theorem suggests that if property rights are clearly defined and transaction costs are low, externalities (negative or positive) can be efficiently resolved through bargaining between parties. It does not imply that victims have no right to be free of negative externalities, but rather that the allocation of rights (to produce or be free from externalities) is what matters for achieving an efficient outcome. Thus, it implies that the initial allocation of rights (whether to the victim or the producer) is less important than the ability of parties to negotiate.

One of the Implications of the Coase Theorem Is That