Suppose That Installing an Overhead Pedestrian Walkway Would Cost a College

question 138

Multiple Choice

Suppose that installing an overhead pedestrian walkway would cost a college town $150,000. The walkway is expected to reduce the risk of fatality by 3 percent, and the cost of a human life is estimated at $10 million. The town should

• A)install the walkway because the estimated benefit is twice the cost.
• B)install the walkway because the estimated benefit equals the cost.
• C)not install the walkway, since the cost is twice the estimated benefit.
• D)install the walkway, since the cost of even a single life is too great not to take action.

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Definitions:

Lower-level Managers

Managers at the lower ranks of an organizational hierarchy, directly supervising non-managerial employees and handling day-to-day operations.

Authority

denotes the power or right to give orders, make decisions, and enforce obedience, typically within organizational or societal structures.

Constraints

Limitations or restrictions that affect the feasibility or development of something.

Organization

An organized group of people with a particular purpose, such as a business or government department.