Clint, Lee and Eli Are the Only Three Residents of the Village

question 117

Multiple Choice

Clint, Lee and Eli are the only three residents of the village of Fantasma. They are considering whether to construct a hiking trail in the mountains surrounding the village. Because congestion on the trail is unlikely, it would be nonrival. Clint values the trail at $300 per month, Lee values the trail at $100 per month, and Eli values the trail at $80 per month. The cost of building and maintaining the trail is $420 per month. Given this information, it is:

• A)socially optimal to build the trail.
• B)not socially optimal to build the trail.
• C)only socially optimal to build the trail if the majority of voters are in favor.
• D)not socially optimal to build the trail if it is paid for through taxes.

---

Definitions:

Buy-Class Situations

Different buying scenarios that businesses might encounter, varying in levels of complexity and purchase importance.

Buying Center Tendencies

Refers to the patterns or behaviors exhibited by a group of individuals within an organization who are involved in making a purchase decision.

Buy Classes

Categories of purchasing decisions that vary based on their complexity, frequency, and the level of decision-making involvement.

Modified Rebuy

A purchasing situation in which a buyer reevaluates options for repurchasing a product or service due to changing needs or conditions.