Business, 07.12.2021 01:10 shookie1993

Bridgman is a candy maker who uses machines that generate noise and vibration. Sturges is a doctor next door whose consulting room is on the boundary of Bridgman's property and so is affected by the noise and vibration. The court has granted the doctor an injunction that prevents Bridgman from using his machinery. Assume that the transaction costs required for Bridgman and Sturges to get together and bargain are negligible. Based on this information, which of the following statements is correct? a. Sturges will pay Bridgman to reduce the production level of candies.
b. If the court ruled that Bridgman had the right to produce candies, then Sturges would have had to close his surgery.
c. Bridgman will have to close down his firm.
d. None of the listed answers is correct.
e. The court's role was to establish the initial property rights of the two parties.

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Bridgman is a candy maker who uses machines that generate noise and vibration. Sturges is a doctor n...