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Suppose regulators enact a rule requiring that the

Accidents with trucks carrying hazardous wastes are fairly common. Suppose regulators enact a rule requiring that the perpetrators of such an accident be liable for a sum equal to the average damages of all such accidents in the industry. Would this lead trucking companies to take the socially efficient amount of precaution against such accidents?

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Business Management: Suppose regulators enact a rule requiring that the

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