3. Many apartment-complex owners anre installing water meters for each individual apartment and billing the occupants according to the amount of water they use. This is in contrast to the former procedure of having a central meter for the entire complex and dividing up the water expense as part of the rent. Where individual meters have been installed, water usage has declined 10 to 40 percent Explain this drop, referring to price and marginal utility.

3. Many apartment-complex owners anre installing water meters for each individual apartment and billing the occupants according to the amount of water they use. This is in contrast to the former procedure of having a central meter for the entire complex and dividing up the water expense as part of the rent. Where individual meters have been installed, water usage has declined 10 to 40 percent Explain this drop, referring to price and marginal utility.

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter4: Utility Maximization And Choice

Section: Chapter Questions

Problem 4.2P

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Question

42 words
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3. Many apartment-complex owners are installing water meters for each individual apartment
and billing the occupants according to the amount of water they use. This is in contrast to the
former procedure of having a central meter for the entire complex and dividing up the water
expense as part of the rent. Where individual meters have been installed, water usage has
declined 10 to 40 percent. Explain this drop, referring to price and marginal utility.
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