Refer to Figure 16.4. Suppose the government assigns property rights to the airlines. No negotiations occur between the parties. The resulting level of air travel is

A) 0 units.
B) 100 units.
C) 120 units.
D) Indeterminate from the given information.

Property Rights

Legal rights to possess, use, and dispose of assets including real estate, intellectual property, and other possessions.

Negatively Affects

Refers to actions or factors that result in a detrimental impact on something.

Air Traffic

The regulated flow of aircraft in the sky, encompassing all aspects of airborne transportation and management.