Asked by
Makaila Bowes
on Nov 25, 2024
Verified
Suppose that Katie and Kelly each expect to receive $500 worth of marginal benefits from a proposed new recreation center, whereas Kerry expects to receive only $100 worth. If the proposed tax levied on each for the center would be $600, a majority vote will
A) pass this project and resources will be overallocated to it.
B) defeat this project and resources will be underallocated to it.
C) pass this project and resources will be efficiently allocated to it.
D) defeat this project and no resources will be allocated to it.
Marginal Benefits
The extra pleasure or benefit obtained from acquiring or creating an additional unit of a product or service.
Recreation Center
A facility provided for leisure activities which may include sports fields, swimming pools, and other amenities for public use.
- Understand the phenomenon of choice aggregation in electoral conduct and its repercussions.
- Consider the impact of public goods production, measuring social improvements against associated costs.
Verified Answer
LC
Learning Objectives
- Understand the phenomenon of choice aggregation in electoral conduct and its repercussions.
- Consider the impact of public goods production, measuring social improvements against associated costs.