Question: Please help will rate asap QUESTION 17 10 points Save Ar Consider the following potential car accident problem, where D is the driver/injurer and P

Please help will rate asap

Please help will rate asap QUESTION 17 10 points Save Ar Consider

QUESTION 17 10 points Save Ar Consider the following potential car accident problem, where D is the driver/injurer and P is the pedestrian/victim. The expected accident cost is affected only by the level of care D chooses, which is indicated by his driving speed. (The faster he drives, the higher the expected accident cost.) If D drives at 65 mph, D's total benefit is 113, and the expected accident cost is 86. If D drives at 60 mph, D's total benefit is 98, and the expected accident cost is 66. If D drives at 55 mph, D's total benefit is 85, and the expected accident cost is 51. If D drives at 45 mph, D's total benefit is 73, and the expected accident cost is 41. If D drives at 30 mph, D's total benefit is 63, and the expected accident cost is 36. If D drives at 20 mph, D's total benefit is 54, and the expected accident cost is 34. (A) The efficient outcome dictates that the driver drives mph. (B) If the legal rule of negligence is imposed, what standard of care should be set? mph. Under this legal rule, D's marginal cost for driving 45 mph is , and D's net (total) benefit for driving 60 mph is . Under the negligence rule, D would drive mph

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