Assume That a Government Is Considering a New Social Program

question 3

Multiple Choice

Assume that a government is considering a new social program and may choose to include in this program one of four progressively larger projects. The marginal cost and the marginal benefits of each of the four projects are given in the table below. Refer to the provided table and information. What is the net benefit of project D?

• A) $1 billion
• B) $3 billion
• C) $4 billion
• D) $20 billion

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Definitions:

Creative Problem Solvers

Individuals who employ novel and resourceful methods to find solutions to complex problems.

Realistic Goals

Objectives that are attainable and practical, taking into account current resources and constraints.

Set

A collection of distinct objects, considered as a whole, often grouped together because they share common characteristics.

Collaborate

To work jointly with others or together especially in an intellectual endeavor.