Let Q be the number of public toilets (measured in thousands). The value of toilets is given by V = 2 va, while the cost of the toilets is given by C = 0.2Q. A bureaucrat in the health ministry wishes to maximise the size of their agency. (a) What would be the number of public toilets which would accomplish this (to the nearest thousand)? (b) What would
Let Q be the number of public toilets (measured in thousands). The value of toilets is given by V = 2 va, while the cost of the toilets is given by C = 0.2Q. A bureaucrat in the health ministry wishes to maximise the size of their agency. (a) What would be the number of public toilets which would accomplish this (to the nearest thousand)? (b) What would
Chapter1: Making Economics Decisions
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Let Q be the number of public toilets (measured in thousands). The value of toilets is given by V = 2 va, while the cost of the toilets is given by C = 0.2Q. A bureaucrat in the health ministry wishes to maximise the size of their agency. (a) What would be the number of public toilets which would accomplish this (to the nearest thousand)? (b) What would be the efficient number of toilets (to the nearest thousand)? (c) What measures could parliament, which oversees the size of ministries, do to prevent them growing ever bigger?
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