The Following Data Show the Relationship Between the Number of Drivers

question 46

Multiple Choice

The following data show the relationship between the number of drivers who leave for work at 8:00 am,their average commute times,and their marginal benefit associated with the commute times. $$\begin{array} { c c c } \begin{array} { c } \text { Number of drivers } \\\underline { \text { that leave at 8:00am }}\end{array} & \begin{array} { c } \text { Average commute } \\\underline { \text { time to downtown }}\end{array} & \begin{array} { c } \text { Marginal } \\\underline { \text { Benefit }}\end{array} \\ 100 & 30 \text { minutes } & \$ 10 \\200 & 65 \text { minutes } & \$ 8 \\300 & 110 \text { minutes } & \$ 4 \\400 & 170 \text { minutes } & \$ 3 \\500 & 260 \text { minutes } & \$ 1\end{array}$$
Refer to the information given above.The reason drivers would prefer building new roads to a $5 toll to reduce commute times is because:

• A)building roads is the only cost-effective solution.
• B)they know a toll would not alter commuting behavior.
• C)a tax solves the commitment problem.
• D)the cost of new roads falls on all taxpayers;the toll only falls on those who use the existing road.

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