Geoffrey, Suzanne, Jared, and Jessica are college roommates. They're trying to decide where the four of them should go for spring break: Vail or San Diego. If they order the tickets by 11:00 PM on February 1, the cost will be just $500 per person. If they miss that deadline, the cost rises to $1,200 per person. The following table shows the benefit (in dollar terms) that each roommate would get from the two trips. Roommate Geoffrey Suzanne Jared Jessica Benefit from Vail $1,000 $600 $700 $800 The roommates tend to put off making decisions. So, when February 1 rolls around and they still haven't made a decision, they schedule a vote for 10:00 PM that night. In case of a tie, they will flip a coin between the two vacation destinations. The roommates will get the most total benefit if they choose to go to Benefit from San Diego $500 $800 $700 $1,000 Roommate Geoffrey Suzanne Jared Jessica Given the individual benefits each roommate receives from the two trips, which trip will each roommate vote for? Fill in the table with each roommate's preferred location, assuming that a given roommate will abstain if he or she has no preference. Vote Vail San Diego ▼ Abstain -vail or San Diego Under majority rule, the roommates will vote to go to Choices E Therefore, majority rule leads to an economically Suppose Jessica misses the vote, leaving Geoffrey, Suzanne, and Jared to figure out where they're going to go. efficien- inefficien ✓ outcome. Geoffrey and Suzanne arque for their preferred destinations, but Jared offers to vote with Geoffrey if Geoffrey will vote on his side in an upcoming
Geoffrey, Suzanne, Jared, and Jessica are college roommates. They're trying to decide where the four of them should go for spring break: Vail or San Diego. If they order the tickets by 11:00 PM on February 1, the cost will be just $500 per person. If they miss that deadline, the cost rises to $1,200 per person. The following table shows the benefit (in dollar terms) that each roommate would get from the two trips. Roommate Geoffrey Suzanne Jared Jessica Benefit from Vail $1,000 $600 $700 $800 The roommates tend to put off making decisions. So, when February 1 rolls around and they still haven't made a decision, they schedule a vote for 10:00 PM that night. In case of a tie, they will flip a coin between the two vacation destinations. The roommates will get the most total benefit if they choose to go to Benefit from San Diego $500 $800 $700 $1,000 Roommate Geoffrey Suzanne Jared Jessica Given the individual benefits each roommate receives from the two trips, which trip will each roommate vote for? Fill in the table with each roommate's preferred location, assuming that a given roommate will abstain if he or she has no preference. Vote Vail San Diego ▼ Abstain -vail or San Diego Under majority rule, the roommates will vote to go to Choices E Therefore, majority rule leads to an economically Suppose Jessica misses the vote, leaving Geoffrey, Suzanne, and Jared to figure out where they're going to go. efficien- inefficien ✓ outcome. Geoffrey and Suzanne arque for their preferred destinations, but Jared offers to vote with Geoffrey if Geoffrey will vote on his side in an upcoming
Chapter2: Scarcity And Opportunity Costs
Section: Chapter Questions
Problem 2E
Related questions
Question
The choices for the last question:
This is an example of.....
rational ignorance
a progressive tax
logrolling
special-interest effect.
Transcribed Image Text:Geoffrey, Suzanne, Jared, and Jessica are college roommates. They're trying to decide where the four of them should go for spring break: Vail or San
Diego. If they order the tickets by 11:00 PM on February 1, the cost will be just $500 per person. If they miss that deadline, the cost rises to $1,200
per person.
The following table shows the benefit (in dollar terms) that each roommate would get from the two trips.
Roommate
Geoffrey
Suzanne
Jared
Jessica
Benefit from Vail
$1,000
$600
$700
$800
The roommates tend to put off making decisions. So, when February 1 rolls around and they still haven't made a decision, they schedule a vote for
10:00 PM that night. In case of a tie, they will flip a coin between the two vacation destinations.
The roommates will get the most total benefit if they choose to go to
Roommate
Geoffrey
Suzanne
Jared
Jessica
Benefit from San Diego
$500
$800
$700
$1,000
Given the individual benefits each roommate receives from the two trips, which trip will each roommate vote for?
Vote
Fill in the table with each roommate's preferred location, assuming that given roommate will abstain if he or she has no preference.
Choices
Vail
San Diego
Abstain
Vail
or
San Diega
Under majority rule, the roommates will vote to go to
Therefore, majority rule leads to an economically
Suppose Jessica misses the vote, leaving Geoffrey, Suzanne, and Jared to figure out where they're going to go.
efficient
inefficient
outcome.
Geoffrey and Suzanne argue for their preferred destinations, but Jared offers to vote with Geoffrey if Geoffrey will vote on his side in an upcoming
class election. This is an example of
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.Recommended textbooks for you