MindTap - Cengage Learning Chapter 11 Post-Class Assignmer x b My Questions | bartleby A https://ng.cengage.com/static/nb/ui/evo/index.html?deploymentld=567366194112273405590289422&elSB.. : Kia v CENGAGE MINDTAP Q Search this course MAIN MENU Chapter 11 EOC Assignment A My Home 5. Problems and Applications Q5 E Courses 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: A-Z CENGAGE UNLIMITED O Browse Catalog Willingness to Pay (Dollars) Partner Offers Brian Edison Kevin Rajiv First film 10 9. 3 EE Print Options Second film 8 - College Success Third film 4 Fourth film 4 3 2 Career Center Fifth film bongo RECOMMENDED FOR YOU Study Tools ▼ a public good. Within the dorm room, the showing of a movie is If it costs $12 to rent a movie, the roommates should rent movies in order to maximize the total surplus. Study Tools for Principles of Economics Suppose the roommates choose to rent the optimal number of movies you just indicated and then split the cost of renting equally. This means that each roommate will pay $ О Нelp At Q Give Feedback Complete the following table with each roommate's total willingness to pay for this many movies and the surplus each person obtains from watching the movies. Total Willingness to Pay Consumer Surplus Roommate (Dollars) (Dollars) Drian MindTap - Cengage Learning Chapter 11 Post-Class Assignmer X b My Questions | bartleby A https://ng.cengage.com/static/nb/ui/evo/index.html?deploymentld=567366194112273405590289422&elS. : Kia v CENGAGE MINDTAP Q Search this course MAIN MENU Chapter 11 EOC Assignment A My Home This means that each roommate will pay $ E Courses A-Z CENGAGE UNLIMITED Complete the following table with each roommate's total willingness to pay for this many movies and the surplus each person obtains from watching O Browse Catalog the movies. Partner Offers Total Willingness to Pay Consumer Surplus Roommate (Dollars) (Dollars) EE Print Options Brian Edison - College Success Kevin Career Center Rajiv bongo RECOMMENDED FOR YOU In order to split the cost in a way that ensures that everyone benefits, the cost could be divided up based on the benefits each roommate receives. Study Tools The practical problem with this solution is that each roommate has an incentive to the value of the movies to him. Suppose they agree in advance to choose the efficient number and to split the cost of the movies equally. Study Tools for Principles of Economics True or False: When Brian is asked his willingness to pay, he will have an incentive to tell the truth. O True О Нelp Q Give Feedback This examples teaches you that the optimal provision of a public good will occur if individuals an incentive to hide their valuation of the good. Grade It Now Save & Continue Continue without saving