-The Figure Above Shows the Marginal Cost and Marginal Benefit

question 54

Multiple Choice

-The figure above shows the marginal cost and marginal benefit of police protection in Queensland. Police protection is a public good. If Queensland hires 25 police officers, then

• A) marginal benefit equals marginal cost.
• B) marginal cost will exceed marginal benefit, which means that the efficient number of officers is more than 25.
• C) marginal benefit will exceed marginal cost, which means that Queensland should reduce the number of officers it hires.
• D) marginal cost will exceed marginal benefit, which means that the efficient number of officers is less than 25.
• E) None of the above answers is correct.

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Definitions:

Statute of Limitations

A law that sets the maximum time the parties involved have to initiate legal proceedings from the date of an alleged offense.

Personal Injury

Personal injury involves harm caused to an individual's body, mind, or emotional well-being, due to someone else's negligence or intentional acts.

Breach of Warranty

A violation of the terms of a warranty or guarantee, often related to the quality, condition, or performance of goods or services.

Statute of Limitations

The maximum time period after an event within which legal proceedings may be initiated.