-Tom and Jerry Are the Only Members of Society

question 110

Multiple Choice

-Tom and Jerry are the only members of society. The table above shows their marginal benefits from defense satellites, a public good. If the marginal social cost of a satellite is $54, the efficient quantity of satellites is

• A) 0.
• B) 1.
• C) 2.
• D) 3.

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Definitions:

Finished Goods

Products that have completed the manufacturing process but have not yet been sold or distributed to the end user.

Production Hold-Ups

Delays or interruptions in the manufacturing process that can lead to increased costs and extended production timelines.

Goal Congruence

Occurs when the objectives of different stakeholders or departments within an organization align and support each other.

Participative Budgeting

A budgeting process where those who are impacted by a budget are involved in the development of the budget, promoting engagement and accountability.