Assume That the Government Is Deciding Whether It Should Build

Multiple Choice

Assume that the government is deciding whether it should build a hospital in one of the main cities in the country.It will choose to build the hospital only if:

A) the hospital generates positive revenues.
B) the cost of building the hospital is low.
C) the profits from the hospital are positive.
D) the opportunity cost of building the hospital is zero.
E) the total benefits from the hospital exceed total costs.