Earlier quoted context omitted.
> That's like saying, "I'll stop punching you if you pay me $50, but until then I'm really enjoying punching you." It's not at all like that, because punching people is currently illegal, and making noise up to a certain threshold is legal. I like peace and quiet more than I like making noise, so I wouldn't mind a lower legal threshold; but the advantage of paying people instead of fighting to change laws is that the…
If I can change the laws first, then the other side will have to pay me. How to decide what's the best "starting point" for a Coase bargain?
If you do have the ability to reliably get laws changed at some expense, you should bring that up while bargaining; it will give you a stronger position. You should be able to get a deal that's better than actually spending whatever resource it would take to change the law.