The accompanying table relating to a public good provides information on the prices Young and Zom are willing to pay for various quantities of that public good. These two people are the only members of society. Determine the price that society is willing to pay for the public good at each quantity of output. If the government's marginal cost of providing this public good is constant at Si. how many units of the public good should government provide?

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P $8 7 6 5 4 3 2 1 Young 0 0 0 1 2 3 4 5 P $8 7 6 5 4 3 2 1 Zorn Q₂ 1 2 3 4 5 6 7 8 P $__ Soclety Q₁ 1 2 3 4 5 6 7 8 P $8 7 6 5 4 3 2 1 Young 0 0 0 1 2 3 4 5 P $8 7 6 5 4 3 2 1 Zorn Q₂ 1 2 3 4 5 6 7 8 P $__ Soclety Q₁ 1 2 3 4 5 6 7 8

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In the given case society comprises of the two people Young and Zom Therefore in order to calculate ... View the full answer