8) Four roommates are planning to spend the weekend in their dorm room watching old movies, and they are debating how many to watch. Here is their willingness to pay for each film: First film Second film Third film Fourth film Fifth film Jack $7 5 4 3 C. Kathy $5 4 3 2 1 John $3 2 1 0 0 Nancy $2 1 0 0 a. Within the dorm room, is the showing of a movie a public good? Why or why not? If it costs $8 to rent a movie, how many movies should the roommates rent to maximize total surplus? b. If they choose the optimal number from part (b) and then split the cost of renting the movies equally, how much surplus does each person obtain from watching the movies? Is there any way to split the cost to ensure that everyone benefits? What practical problems does this solution raise? d. Suppose they agree in advance to choose the efficient number and to split the cost of the movies equally. When Jack is asked his willingness to pay, will he have an incentive to tell the truth? If so, why? If not, what will he be tempted to say? e. What does this example teach you about the optimal provision of public goods?

Q: i need g to h

A: Thank you for the question. As per Bartleby's answering guidelines, we answer 3 subparts per…

Q: Make flow chart of type of budget?

A: budget is a estimate expense and income for certain period of time

Q: Please answer full questions including fill in the blanks.

A: When an initial injection into a circular flow results in a larger ultimate rise in real national…

Q: Tutorial

A: Hi, thank you for the question. As per our Honor code, we are allowed to attempt only first…

Q: Use image

A: The spending function represents the relationship between household spending and total income. When…

Q: i need help with all of them

A: The government uses price controls to exert direct influence over market prices. It has an impact on…

Q: why supplier is important for any organisations?

A: A supplier is an individual or a firm that provides a good or service to another economic activity…

Q: how do you write an audit of how you nonverbally communicate?

A: Title: Audit of Nonverbal Communication SkillsIntroduction:This audit aims to evaluate and assess…

Q: How is the Purchasing power important?

A: Answer - Purchasing Power - Purchasing power is overall buying capacity of country which is…

Q: Where do you get the number 11?

A: Given, Marginal propensity to save (mps)=0.2 Marginal propensity to import (mpm)=0.1 Marginal income…

Q: What are the two kinds of Indian budget?

A: Introduction - The French word "bougettee," from which the English word "budget" is derived, refers…

Q: Sasha and Brian just bought their new home, a high-rise condo located downtown. They measured the…

A: Consumer decision making process is that when consumer makes decisions about consumerable like…

Q: Where does Mark Dean call home

A: Mark Dean is known as one of the fathers of the personal computer

Q: A sentence that contains a metaphor

A: Metaphor is a figure of speech that directly refers to some thing by way of mentioning another.