Multiple Choice
Suppose that a small county is considering adding a guard rail to a dangerous curve by a river. The guard rail will cost $70,000. The average damage done to vehicles that slide off the road at the curve is $10,000. It is expected that the guard rail will prevent 5 vehicles from sliding off the road during its usable life. What should the county do?
A) Install the guard rail because safety is priceless.
B) Install the guard rail because the benefits exceed the costs.
C) Do not install the guard rail because the costs exceed the benefits.
D) Do not install the guard rail at any cost because drivers can purchase private insurance for their vehicles.
Correct Answer:
Verified
Correct Answer:
Verified
Q4: Is a tornado siren excludable? Is it
Q14: Economists argue that we can calculate the
Q75: The provision of public goods gives rise
Q76: Both private goods and club goods are<br>A)rival
Q77: Excessive fishing occurs because<br>A)each individual fisherman has
Q80: An overcrowded beach is an example of<br>A)a
Q81: The government provides public goods because<br>A)private markets
Q82: Table 11-4<br>There are four homes along Belmont
Q83: National defense is provided by the government
Q122: London drivers who choose to drive in