In an economy lacking property rights,it would be ________ to realize the gains from trade,and there would be ________ specialization compared to an economy with property rights.
A)more difficult;less
B)more difficult;more
C)easier;less
D)easier;more
E)none of the above

Question

Quizplus · Accepted Answer

Without property rights, individuals would not have the legal protection necessary to fully benefit from their traded goods or their specialized skills. They would be reluctant to invest in trade or to specialize in a certain skill if there is no guarantee of receiving the full value of their efforts. As a result, it would be more difficult to realize the gains from trade and there would be less specialization.

In an Economy Lacking Property Rights,it Would Be ________ to Realize