Use the Following to Answer Questions

question 133

Multiple Choice

Use the following to answer questions:
Scenario: Private and External Benefits
A small community finds that tidy lawns and neighborhoods provide both private and external benefits. They determine that the marginal private benefit (MPB) of lawns can be represented by the equation MPB = 50 - 0.5Q, where Q is the number of hours spent on keeping lawns tidy. The marginal private cost (MPC) of such lawn upkeep is represented by the equation MPC = 0.5Q, where Q is again the number of hours engaged in lawn upkeep.
-(Scenario: Private and External Benefits) Look at the scenario Private and External Benefits. How many hours of lawn upkeep will occur in this community, and what will be the marginal private benefit of such upkeep?

• A) 50 hours; $50
• B) 45 hours; $20
• C) 50 hours; $25
• D) 100 hours; $50

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Definitions:

Nutrients

Substances that provide nourishment essential for the growth and maintenance of life.

Intertidal Zone

The coastal area that is exposed to air at low tide and submerged at high tide, hosting a diverse array of adapted organisms.

Land Area

The total surface area of the Earth that is covered by land, excluding oceans and other bodies of water.