To Increase Safety at a Bad Intersection,you Must Decide Whether

question 337

Multiple Choice

To increase safety at a bad intersection,you must decide whether to install a traffic light in your hometown at a cost of $25,000.If the traffic light reduces the risk of fatality by 0.3 percent,and the value of a human life is estimated to be $10 million,you should

• A) install the light because the expected benefit of $30,000 is greater than the cost.
• B) install the light because the expected benefit of $25,000 is greater than the cost.
• C) not install the light because the expected benefit of $25,000 is only equal to the cost.
• D) not install the light because the expected benefit of $3,000 is less than the cost.

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Definitions:

Negative Message

Communication that conveys a refusal, denial, or unfavorable information in a tactful way.

Positive Statement

An assertion that can be tested and validated, often used in economics to describe facts without judgment.

Negative Message

Communication that conveys a refusal, rejection, or bad news in a way that aims to maintain a good relationship with the recipient.

Indifferent Audience

A group of listeners or viewers who are apathetic or have no strong feelings about the presented material.