Assuming that transactions costs are sufficiently low, the Coase ...

[kellyjaisingh]

Assuming that transactions costs are sufficiently low, the Coase theorem results in the economic pie being maximized. What impact do legal constraints have on this prediction of the Coase theorem?
 
  What will be an ideal response?

Question 2

Of the following market structures, which is the most competitive?
 
  A) perfect competition
  B) monopolistic competition
  C) monopoly
  D) oligopoly

[scikid]

Answer to Question 1

Legal restraints will not affect the total amount of income, but they will affect the shares of that income that go to each party to the transaction.

Answer to Question 2

A

[kellyjaisingh]

Thanks for the timely response, appreciate it

[frankwu0507]

Excellent