Changes

The implications in law are that the best a judge can do for the economy as a whole is to minimize transaction costs, such as bureaucracy.  Court decisions that impose additional procedural obligations, such as ''[[Goldberg v. Kelly]]'' (1969), can only detract from overall wealth and efficient economic behavior.  The Coase theorem implicitly holds that many of the legal attempts to improve the economy are illusory, because there is no way to improve over the combination of clear legal entitlements and no government interference.

The implications in law are that the best a judge can do for the economy as a whole is to minimize transaction costs, such as bureaucracy.  Court decisions that impose additional procedural obligations, such as ''[[Goldberg v. Kelly]]'' (1969), can only detract from overall wealth and efficient economic behavior.  The Coase theorem implicitly holds that many of the legal attempts to improve the economy are illusory, because there is no way to improve over the combination of clear legal entitlements and no government interference.

The implication in economics is that governments must intervene to lower transaction costs where feasible.

The implication in economics is that governments can create better outcomes when they intervene to define property rights and lower transaction costs where feasible. This is usually done to correct negative [[externalities]], which are a type of [[market failure]].

The implications in politics are that, in a free society, it is almost irrelevant who has wealth and who does not with respect to economic activity.  Useful or desired economic activity will occur regardless of who owns property or wealth.  A list of the wealthiest individuals (Forbes 500) is meaningless, as wealth will flow to efficient activity regardless of who controls the money.

The implications in politics are that, in a free society, it is almost irrelevant who has wealth and who does not with respect to economic activity.  Useful or desired economic activity will occur regardless of who owns property or wealth.  A list of the wealthiest individuals (Forbes 500) is meaningless, as wealth will flow to efficient activity regardless of who controls the money.