Maurice Tutor

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  • MCS,PHD
    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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    Phoniex University
    Oct-2001 - Nov-2016

Category > Management Posted 27 Oct 2017 My Price 5.00

demand curve for person

Suppose there are only two people in society. The demand curve for person A for mosquito control is given by

a. Suppose mosquito control is a nonexclusive good—that is, once it is produced everyone benefits from it. What would be the optimal level of this activity if it could be produced at a constant marginal cost of $50 per unit?

b. If mosquito control were left to the private market, how much might be produced? Does your answer depend on what each person assumes the other will do?

c. If the government were to produce the optimal amount of mosquito control, how much would this cost? How should the tax bill for this amount be allocated between the individuals if they are to share it in proportion to benefits received from mosquito control

 

Answers

Maurice Tutor
(5)
Status NEW Posted 27 Oct 2017 04:10 PM My Price 5.00

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