The dog-walkers value walking their dogs at $400 per month. The neighborhood association doesn't like the barking dogs in the neighborhood, and values peace-and-quiet at $350 per month. The socially optimal outcome is that the dog-walkers are allowed to walk their dogs, but the law states that the neighborhood association has the right to peace-and-quiet. Transactions costs for these two groups to meet and discuss is $70. According to the Coase Theorem, can the socially optimal outcome be reached

The monthly demand equation for an electric utility company is estimated to be p equals 60 minus left parenthesis 10 superscript negative 5 baseline right parenthesis x, where p is measured in dollars and x is measured in thousands of killowatt-hours. the utility has fixed costs of $3 comma 000 comma 000 per month and variable costs of $32 per 1000 kilowatt-hours of electricity generated, so the cost function is upper c left parenthesis x right parenthesis equals 3 times 10 superscript 6 baseline plus 32 x. (a) find the value of x and the corresponding price for 1000 kilowatt-hours that maximize the utility's profit. (b) suppose that the rising fuel costs increase the utility's variable costs from $32 to $38, so its new cost function is upper c 1 left parenthesis x right parenthesis equals 3 times 10 superscript 6 baseline plus 38 x. should the utility pass all this increase of $6 per thousand kilowatt-hours on to the consumers?