The Marginal Cost of Producing 40 Units of a Public

question 238

Multiple Choice

The marginal cost of producing 40 units of a public good is $200. There are two individuals in the society. Person A is willing to pay $80 for 40 units of the public good. If 40 units of the public good are provided, how much must Person B be willing to pay?

• A) $0
• B) $80
• C) $120
• D) $150

---

Definitions:

Random Sample

An ensemble of people picked from a bigger collection, where every member stands an equal opportunity to be chosen.

Mean Annual Salary

The average yearly earnings of employees in a particular job, sector, or region.

Confidence Interval

A depot of values, based on statistical sample analysis, envisaged to contain the value of a yet-to-be-discovered population parameter.

Nova Scotia Nurses

Registered nurses and nurse practitioners located in the province of Nova Scotia, Canada, who provide various healthcare services.