Suppose Fishermen Go Fishing at a Fishery That Has No

question 15

Multiple Choice

Suppose fishermen go fishing at a fishery that has no property rights (meaning any fishermen could fish as she liked) . The marginal cost of a fishing boat is constant at $100, and the price for each pound of fish sells at $1. Further, assume the relation between the number of vessels and the total catch is given by the following table: Each boat that goes out get an equal share of all the fish caught and there are 8 boats possible. $$\begin{array} { l l } \begin{array} { l } \text { Number } \\\text { of } \\\text { Vessels }\end{array} & \begin{array} { l } \text { Total } \\\text { Catch } \\\text { (lb) }\end{array} \\\hline 1 & 400 \\2 & 800 \\3 & 1100 \\4 & 1300 \\5 & 1401 \\6 & 1400 \\7 & 1300 \\8 & 1300 \\\hline\end{array}$$ If there were no controls over fishing, how many vessels would be sent out fishing?

• A)0
• B)6
• C)7
• D)8

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Definitions:

Warehousing Functions

Activities related to the storage of goods in a warehouse such as receiving, storing, managing inventory, and preparing goods for distribution.

Push Strategy

A marketing strategy that aims to "push" products towards consumers through channels such as promotions and sales force efforts rather than creating demand through consumer interest.

Sustainable Sourcing

A process of purchasing goods and services that takes into account the long-term impact on people, profits, and planet.

Near-Sourcing

The practice of transferring a business operation or project closer to where it is consumed or where the product is sold, aiming to reduce transportation costs and time.