Business, 10.04.2020 22:50 dontworry48
Abe owns a dog; the dog's barking annoys Montes neighbor, Teresa. Suppose that the benefit of owning the dog is worth $200 to Monte and that Teresa bears a cost of $400 from the barking. Assuming Monte has the legal right to keep the dog, a possible private solution to this problem is that
A) Teressa pays Monte $150 to give the dog to his parents who live on an isolated isand
B) Monte pays Teresa $350 for her inconvenience
C) Teresa pays Monte $300 to give the dog to his parents who live on an isolated farm
D)There is no private transaction that would improve this situation
Answers: 2
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Abe owns a dog; the dog's barking annoys Montes neighbor, Teresa. Suppose that the benefit of owning...
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