In the book Why Not? Yale professors Barry Nabalof and Ian Ayres suggest that computers that record

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In the book Why Not? Yale professors Barry Nabalof and Ian Ayres suggest that computers that record driver behavior

(similar to the black boxes in planes that record crashes) be installed in cars. In trials where such computers were installed in cars, crash rates fell by one-third.

a. If these boxes cost $100 each, and their installation reduces the probability of a crash that costs an average of $30,000 in damage to persons and vehicles, do such boxes make sense?

b. If they do make sense, what is a reason they are not installed?

c. In what cars will they likely be installed first?

d. What will their installation likely do to driving habits?

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Related Book For  answer-question

Microeconomics

ISBN: 9781260507140

11th Edition

Authors: David Colander

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