Question 2 2 pts Consider the file named Public Goods Graphs. It shows the marginal private...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Question 2 2 pts Consider the file named Public Goods Graphs. It shows the marginal private benefits (MPB) derived by three citizens from different units of a public good such as a fire station, another military base, or a new freeway. It also shows the marginal social costs of building these goods. Suppose that when the government employees survey the citizens about their preferences for the public good, every citizen understate his or her marginal private benefit for every unit of the good by $20. In that case, the survey results would mistakenly indicate that the allocatively efficient number of the public good is Use our general rounding rule. 25 24 23 22 21 20 19 31 30 29 28 27 26 25 0 0 1 1 Citizen 1's MPB 2 2 3 Citizen 3's MPB 3 4 4 5 5 6 6 27 26 25 24 23 22 21 8450 5652244 40 35 2 28 24 20 16 12 840 72 68 64 60 48 36 32 0 0 1 1 2 Citizen 2's MPB 3 2 Marginal Social Cost 4 3 4 5 5 6 6 Question 2 2 pts Consider the file named Public Goods Graphs. It shows the marginal private benefits (MPB) derived by three citizens from different units of a public good such as a fire station, another military base, or a new freeway. It also shows the marginal social costs of building these goods. Suppose that when the government employees survey the citizens about their preferences for the public good, every citizen understate his or her marginal private benefit for every unit of the good by $20. In that case, the survey results would mistakenly indicate that the allocatively efficient number of the public good is Use our general rounding rule. 25 24 23 22 21 20 19 31 30 29 28 27 26 25 0 0 1 1 Citizen 1's MPB 2 2 3 Citizen 3's MPB 3 4 4 5 5 6 6 27 26 25 24 23 22 21 8450 5652244 40 35 2 28 24 20 16 12 840 72 68 64 60 48 36 32 0 0 1 1 2 Citizen 2's MPB 3 2 Marginal Social Cost 4 3 4 5 5 6 6
Expert Answer:
Related Book For
Microeconomics An Intuitive Approach with Calculus
ISBN: 978-0538453257
1st edition
Authors: Thomas Nechyba
Posted Date:
Students also viewed these economics questions
-
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
-
The Crazy Eddie fraud may appear smaller and gentler than the massive billion-dollar frauds exposed in recent times, such as Bernie Madoffs Ponzi scheme, frauds in the subprime mortgage market, the...
-
Should courts ever enforce illegal contracts? If illegal contracts are void as a matter of law, what is the court enforcing? If courts will use equity powers or other roundabout ways to enforce...
-
Use a graphing utility to approximate (to two decimal places) any relative minima or maxima of f (x) = x3 + 2x 1.
-
Repeat Problem 5-10 using the perpetual system. Bitten Companys inventory records show 600 units on hand on October 1 with a unit cost of $5 each. The following transactions occurred during the month...
-
Cheese Nips in the cheese cracker snack market. In a 1998 joint promotion agreement with television network Nickelodeon, Nabisco planned to launch a new snack cracker product that combined three...
-
On December 31, 2013, Paxson Company had 1,300,000 shares of $5 par common stock issued and outstanding. At December 31, 2013, stockholders equity had the amounts listed here. Common...
-
"Managing Away Bad Habits Team Assignment Organizational Behavior IILeadership Assigned is ashort case from the exercise Managing Away Bad Habits. The task is to develop a turnaround strategy for...
-
Consider the following state of a system with four processes, P1, P2, P3, and P4, and five types of resources, RS1, RS2, RS3, RS4, and RS5: Using the deadlock detection algorithm described in Section...
-
Given the following table and assume that the firm is a price-taker, and the market price of ita product is $75 Determine the optimum level of output that maximizes the fir's total prolits. Total...
-
What is the output of the code snippet given below? int i; int j = 0; for (i=0; i < 6; i++) { if (i % 2 (0) { - i = i + 2; } j++; else { i++; j = j + 2; j++; } }
-
Determine the present value of an annuity due of $1,000 per month for 15 years discounted back to present at 12 percent compounded monthly. What would be the present value if it were a regular...
-
6. Trace the following code when a = 3 and b = 4 and show the output. (12 points) int p; for (p = 1; b > 0; --b) p pa; return p; 7. What is the value of i after the loop? Explain. (10 points) int i =...
-
The place kicker on a football team kicks a ball from ground level with an initial speed of 8 . 1 0 m / s at an angle of 2 5 . 0 degrees above the horizontal. How long is the ball in the air, in...
-
If you retire with $600,000 in your account, and you quit, how long can you pull out of the account each month and live off just that. Assume you can earn 4.5% annually while in retirement?
-
What do you understand interpretation of precipitation data?
-
Write a paper detailing a geographic information system (GIS) of your own design that would utilize data in an original manner.
-
Under perfect competition, we found that the economic incidence of a taxi.e. who ends up paying a taxhad nothing to do with statutory incidencei.e. who the law said should pay the tax. A: Suppose the...
-
Suppose the government decides to subsidize (rather than tax) consumption of grits. A: Consider a consumer that consumes boxes of grits and other goods. (a) Begin by drawing a budget constraint...
-
We investigated different ways that you can price the use of amusement park rides in a place like Disneyland. We now return to this example. Assume throughout that consumers are never at a corner...
-
Say that we want to "compute" the stochastic integral Analogy with ordinary calculus would suggest using the chain rule for the differentiation of composite functions, in order to obtain a...
-
Given the GBM the Euler scheme yields The resulting discretized process is An obvious issue with this discretization is that it generates the wrong distribution. GBM is supposed to generate lognormal...
-
Given a normal random variable , how can we approximate it by a discrete distribution with only two realizations and ? To begin with, given the symmetry of the normal distribution, a natural choice...
Study smarter with the SolutionInn App