Alex and Ben Are Both Loggers Wanting to Harvest Timber

question 39

Multiple Choice

Alex and Ben are both loggers wanting to harvest timber from the same forest.Alex prefers to harvest and replant at a sustainable rate;Ben wants to harvest as many trees as possible to maximize short-run profit,and then move on.They face the same production costs. Refer to the information given.The forest is more likely to be harvested and replanted at a sustainable rate if:

• A) property rights are well-defined and enforced.
• B) property rights are weak or nonexistent.
• C) there is no government protection of property rights and the parties can negotiate a settlement.
• D) Ben is given sole ownership of the property.

---

Definitions:

Experience Differentiation

Engaging a customer with a product through imaginative use of the five senses, so the customer “experiences” the product.

Consumer's Five Senses

Refers to how businesses tap into taste, touch, sight, sound, and smell to influence consumer behavior and enhance the shopping experience.

Product Differentiation

Product differentiation is a marketing strategy that businesses use to distinguish their products from similar offerings on the market.

Service Sector

The sector of an economy that is concerned with the production of services rather than goods, including industries like healthcare, education, retail, and financial services.