| − | The '''Coase theorem''' is a logical truth about [[economics]] that is also immensely helpful in life. It gives primacy to the future over the past, and predicts the triumph of optimal outcomes. This reinforces the close proximity of happiness to those in anxiety or depression, by recognizing that future unlimited possibilities are available in some form to all. | + | The '''Coase theorem''' is a logical truth about [[economics]] that is also immensely helpful in life. It gives primacy to the future over the past, and predicts the triumph of optimal outcomes. This reinforces the close proximity of happiness to those in anxiety or depression, by recognizing that future unlimited possibilities are available to all. This theorem debunks hype about wealth; it matters little who owns what. |
| | In economic terms, the Coase theorem states that if property rights are well-defined and [[transaction costs]] (including costs of negotiating) are zero or negligible, then the most efficient economic activity will occur regardless of who initially owns the property rights. Negotiation and market transactions will ensure optimal allocation of property. Simply put, '''''it means "build a better mousetrap, and the world will beat a path to your door,"'''''<ref>The phrase is attributed to [[Ralph Waldo Emerson]], who [https://www.americanheritage.com/better-mousetrap said something similar].</ref> no matter who or where you are. This is similar to the [[Bible|biblical]] "cast your net on the other side of the boat" that garnered [[infinity|infinite]] wealth.<ref name="Net">''See, e.g.'', [[Luke 1-8 (Translated)#5:4|Luke 5:4-7]]; [[John 15-21 (Translated)#21:6|John 21:6-7]].</ref> This theorem also echoes the biblical exhortation, “No one who puts his hand to the plow and looks back is fit for the [[kingdom of God]].”<ref>Luke 9:62 ([[HCSB]]).</ref> ''See also'' the parable of the barren tree, Luke 13:9<ref>https://bible.knowing-jesus.com/Luke/13/9</ref>; John 15:2; Hebrews 6:7. | | In economic terms, the Coase theorem states that if property rights are well-defined and [[transaction costs]] (including costs of negotiating) are zero or negligible, then the most efficient economic activity will occur regardless of who initially owns the property rights. Negotiation and market transactions will ensure optimal allocation of property. Simply put, '''''it means "build a better mousetrap, and the world will beat a path to your door,"'''''<ref>The phrase is attributed to [[Ralph Waldo Emerson]], who [https://www.americanheritage.com/better-mousetrap said something similar].</ref> no matter who or where you are. This is similar to the [[Bible|biblical]] "cast your net on the other side of the boat" that garnered [[infinity|infinite]] wealth.<ref name="Net">''See, e.g.'', [[Luke 1-8 (Translated)#5:4|Luke 5:4-7]]; [[John 15-21 (Translated)#21:6|John 21:6-7]].</ref> This theorem also echoes the biblical exhortation, “No one who puts his hand to the plow and looks back is fit for the [[kingdom of God]].”<ref>Luke 9:62 ([[HCSB]]).</ref> ''See also'' the parable of the barren tree, Luke 13:9<ref>https://bible.knowing-jesus.com/Luke/13/9</ref>; John 15:2; Hebrews 6:7. |