Which of the Following Situations Would Prompt Individuals to Try

Multiple Choice

Which of the following situations would prompt individuals to try to form a team (firm) , according to Alchian and Demsetz.

A) Jones, Smith, and Brown together produce 100 units of good X each day working alone and 90 units of good X each day working together.
B) Jones, Smith, and Brown together produce 100 units of good X each day working alone and 120 units of good X each day working together.
C) Jones, Smith, and Brown together produce 100 units of good X each day working alone and 100 units of good X each day working together.
D) Jones produces more working alone than Smith or Brown produce working alone.
E) Jones produces more working as a member of a team than Smith or Brown produce working as a member of a team.