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Suppose a Treacherous Stretch of Road Winds Through Deadman's Canyon

Question 137

Multiple Choice

Suppose a treacherous stretch of road winds through Deadman's Canyon for 5 miles.A highway department study estimates that better lighting would reduce the traffic fatality rates as follows:  Number of lights  Estimated deaths per year  Total installation cost (in millions)  03$0 m12$3 m21.5$7 m31.2$12 m41$18 m50.9$25 m\begin{array} { c c c } \text { Number of lights } & \text { Estimated deaths per year } & \text { Total installation cost (in millions) } \\0 & 3 & \$ 0 \mathrm {~m} \\1 & 2 & \$ 3 \mathrm {~m} \\2 & 1.5 & \$ 7 \mathrm {~m} \\3 & 1.2 & \$ 12 \mathrm {~m} \\4 & 1 & \$ 18 \mathrm {~m} \\5 & 0.9 & \$ 25 \mathrm {~m}\end{array}
According to the basic rule for allocating crime control resources,the optimal amount of crime control occurs when


A) the total benefits from reduced crime is greater than the total costs of crime reduction.
B) the marginal benefits of reduced crime equals the marginal cost of crime reduction.
C) the total benefits from reduced crime equal the total costs of crime reduction.
D) the incidence of crime is nearly zero.

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