In the Absence of Government Interference, There Is a Constant

question 10

Multiple Choice

In the absence of government interference, there is a constant marginal cost of $5 per ounce for growing marijuana and delivering it to buyers.If the probability that any shipment of marijuana is seized is .30 and the fine if a shipper is caught is $35 per ounce, then the equilibrium price of marijuana per ounce is

• A)$22.14.
• B)$40.
• C)$3.50.
• D)$15.50.
• E)$6.50.

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Definitions:

Rural People

Individuals living in countryside areas, often engaged in agricultural or other land-based activities, and characterized by a distinct set of cultural, economic, and social traits.

Urban Culture

The way of life, attitudes, values, and patterns of behavior that are characteristic of people living in city environments, often marked by diversity and innovation.

Need For Adventure

Describes the human desire or inclination to seek out new and exciting experiences, often entailing some form of risk or challenge.

Manufacturing

The process of producing goods in large quantities using raw materials and machinery, often within an industrial setting.