What must be true for the coase to hold? for the coase theorem to hold, a. transaction costs to obtain an agreement must be high. b. the externality must be generated by the consumption of a good or service. c. all parties to an agreement must have full information about the costs and benefits of the externality. d. all parties to an agreement must be willing to bluff. e. the government must monitor the negotiations to obtain an agreement.

The interaction of individual choices because a type of fish is on the verge of extinction, the government imposes rules that prohibit fishing in the publicly owned spawning grounds. at first owners of fshing bouts complain about this restriction on where they can fish, but soon they notice that the number of adult fish swimming outside the protected area is much higher than it was before. with the restriction, each fishing boat ends up catching more fish than it did before the r which of the following principles of economic interaction best describes this scenario? o there is a tradeoff between equality and efficiency o markets usually lead to efficiency. o when markets do not achieve efficiency,government intervention can improve overall welfare o markets allocate goodseffectively