The Economic Way of Thinking 13th Edition by David Prychitko, Peter Boettke, Paul Heyne

Exercise 16

Some years ago Utah annually sold 27 licenses to hunt buffalo in a 1,500-square-mile area of the state. The fee was $200 for residents and $1,000 for nonresidents. Because the state received more than a thousand applications each year, it held a drawing to decide who will get the 27 licenses.
(a) Why do you suppose Utah didn't sell the licenses to the highest bidder?
(b) Do you think people who receive a license should be allowed to sell it to someone else?
(c) What effects do you think a lottery system with freely transferable Licenses\ would have?