A village has five residents, each of whom has accumulated savings of $100. Each villager can use the money to buy a governmentbond that pays 12% interest per year or to buy a year-old goat, send it onto the commons to graze, and sell it after one year. The priceof the goat that the villager will get at the end of the year depends on the amount of weight it gains while grazing on the commons,which in turn depends on the number of goats sent onto the commons, as shown in table below.information isNumber ofgoatsPrice per2-year old goatIncome pergoat11303021252531202041151551055Refer to the table above in Q10. Suppose a village elder decides the total number of goats and bonds with the goal of maximizing totalvillage income. The village income will be ___.Answer: 586

To solve this problem, we need to calculate the total village income for each possible combination…

Answered: A village has five residents, each of…

Economics:

10th Edition

ISBN:9781285859460

Author:BOYES, William

Publisher:BOYES, William

Chapter32: The Land Market And Natural Resources

Section: Chapter Questions

Problem 9E

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9. A village is located next to 1000 acres of prime grazing land. The village presently owns the land and allows all residents to graze cows freely. Some members of the village council have suggested that the land is being overgrazed. Is this likely to be true? These same members have also suggested that the village should either require grazers to purchase an annual permit or sell off the land to the grazers. Would either of these be a good idea?
10:55 All iCloud December 2, 2019 at 10:55 AM A village has five residents, each of whom has an accumulated savings of $50. Each villager can use the money to buy a government bond that pays 10% interest per year or to buy a year-old goat, send it onto the commons to graze, and sell it after one year. The price of the goat that the villager will get at the end of the year depends on the amount of weight it gains while grazing on the commons, which in turn depends on the number of goats sent onto the commons, as shown in table below. Assume that if a villager is indifferent between buying a bond and buying a goat, the villager will buy a goat. Number of goats Income per goat ($vear Price per 2-year old goat (S) on the commons 80 30 1 2 75 25 3 70 20 65 15 5 55 5 What will be the total village income if each villager decides how to invest based on his or her individual self-interest?
Crop loss per additional steer Number in herd Annual crop loss (Steers) (Tons) (Tons) 1 1 3 2 3 4 10 4 The cost of crop damage is $1/ton. The cattle rancher is able to sell the meat from each steer for $3.5. What is the socially efficient number of steers? [Select) If the rancher is liable for crop damages, will the rancher raise the efficient number of steers? [ Select ] If there are no transaction costs, and the rancher is not liable for crop damages, will they raise the efficient number of steers? [Select) The point of Coase's analysis here is that if the pricing system functions without transaction costs, I Select)
The government wants to increase ecotourism by using farmland to establish special habitats for endangered species. The government will pay farmers half the revenue per acre of habitat that farmers would have received if they had grown wheat on that land. The average wheat yield per acre is 6363 bushels. The average price of a bushel of wheat is $3.76$⁢3.76.How much would the government pay a farmer who wants to establish a habitat on 44 acres of land? Enter your answer in the box below and round to two decimal places if necessary.
Spring is here, and Larry and his uncle would like to go fishing for the weekend in Washington. Larry could either go to the river in town where anyone can fish without a permit, or he could drive up to a pond located on his family's property in the countryside to fish. Assume that, no matter where people fish, all of the fish that are caught would be kept (that is, there is no "catch and release" policy). The fish in the private pond are considered and whereas the fish in the river are and . In other words, the fish in the private pond are an example of , and the fish in the river are an example of . Fishing in the river will likely lead to because of which of the following reasons? All fishermen will choose to fish in the pond believing that there are more fish there. All fishermen will choose to fish in the river because of the limited access to the pond. Nobody will enjoy fishing because of the lack of private contributions…
A village is located next to 1000 acres of prime grazing land. The village presently owns the land and allows all residents to graze cows freely. Some members of the village council have suggested that the land is being overgrazed. i) With the help of a diagram, explain the economic reasoning behind the overgrazing of the land. ii) What methods can the village adopt to prevent overgrazing?
What is the "free-market" equilibrium number of acres Sam will plant?
Robert owns a cattle ranch next to a flower farm owned by Felicia. Robert's cattle tend to roam and sometimes they stray onto Felicia's land and damage her crops. Robert can choose the size of his herd and his revenues are $6 for each cow he raises. The table below shows his private marginal cost of production (MCP) and the damage each additional cow creates (marginal cow damage or MCD) are given below. # of Cattle MCP MCD 123456 334567 $3 $1 2 3 4 5 6 6 Farmer Felicia can choose either to farm or not to farm. Her cost of production is $10, and her revenue is $12 when there are no cattle roaming loose. For each additional cow her revenue is reduced by the amount in the MCD column above. To answer the following questions, you need to figure out four things: the profit maximizing number of cows for Robert to own, his profits, whether or not Felicia will farm and what her profits will be. Remember that efficient outcomes maximize the net monetary benefits to both parties; in other words,…
There are two fishermen, Zach and Jacob. They would each benefit if lighthouses were built along the coast where they fish. The marginal cost of building a lighthouse is $100. The marginal benefit that Zach gets from each lighthouse is 90 - Q, where Q is the number of lighthouses. The marginal benefit that Jacob gets from each lighthouse is 40 - Q. 1. What is the efficient number of lighthouses? 2. What is Zach's marginal benefit of lighthouses at the efficient quantity? 3. Would Zach have been willing to pay for the last additional lighthouse at the efficient quantity? a) Yes b) No
where does the green go
Describe one economic benefit, other than energy cost savings, that may result from increasing the amount of vegetation in cities.

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