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Suppose Government Can Pursue Up to Three Projects

question 13

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Suppose government can pursue up to three projects.The first has benefits of $1,080 and costs of $1,000; the second has benefits of $1,180 and costs of $1,000; the third has benefits of $1,230 and costs of $1,000.Suppose that it costs $0.20 for the government to raise a dollar in revenues.Which project(s) should the government pursue?


Definitions:

Cause-Related Marketing

A marketing strategy where a company partners with a non-profit organization or supports a social cause, linking its products or services to social or environmental issues.

Social Activist Marketing

A marketing strategy that aligns a brand with social causes to generate goodwill and societal impact.

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A pricing strategy where consumers are offered the option to pay more than the standard price for goods or services, often for charitable reasons or to support a good cause.

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A promotional sales tactic where customers receive an additional item at no extra cost upon purchasing one.

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