Author Question: According to Coase, firms emerge when a. transaction costs in the market are less than the cost of ... (Read 73 times)

cherise1989 · **on:** Jun 30, 2018

According to Coase, firms emerge when
a. transaction costs in the market are less than the cost of hierarchical control
b. transaction costs in the market are more than the cost of hierarchical control
c. prices in the market are less than the cost of hierarchical control
d. prices in the market are more than the cost of hierarchical control
e. implicit contracts in the market can be made explicit in a firm

Question 2

Foreign exchange rates tend toward equality around the world because of the actions of
a. central banks
b. stock markets
c. commodity markets
d. the World Bank
e. arbitrageurs