Complete the following table, which shows the combined benefits of Poornima and Valerie as previously described. Valerie Contributes Doesn't contribute Contributes $840 $ Poornima Doesn't contribute $720 $ Of the four cells of the table, which gives the greatest combined benefits to Poornima and Valerie? O When both Poornima and Valerie contribute to the public park When neither Poornima nor Valerie contributes to the public park O When Poornima contributes to the public park and Valerie doesn't, or vice versa Now, consider the incentive facing Poornima individually. The following table looks similar to the previous one, but this time, it is partially completed with the individual benefit data for Poornima. As shown previously, if both Poornima and Valerie contribute to a public good, Poornima receives a benefit of $420. On the other hand, if Valerie contributes to the public park and Poornima does not, Poornima receives a benefit of $510. Complete the right-hand column of the following table, which shows the individual benefits of Poornima. Hint: You are not required to consider the benefit of Valerie. Valerie Contribute Poornima Doesn't contribute Contribute $420, -- $510, -- Doesn't contribute $ $ If Valerie decides to contribute to the public park, Poornima would maximize her benefit by choosing, the other hand, if Valerie decides not to contribute to the public park, Poornima would maximize her benefit by choosing. the public park. These results illustrate to the public park. On to Poornima and Valerie are considering contributing toward the creation of a public park. Each can choose whether to contribute $300 to the public park or to keep that $300 for a weekend getaway. Since a public park is a public good, both Poornima and Valerie will benefit from any contributions made by the other person. Specifically, every dollar that either one of them contributes will bring each of them $0.70 of benefit. For example, if both Poornima and Valerie choose to contribute, then a total of $600 would be contributed to the public park. So, Poornima and Valerie would each receive $420 of benefit from the public park, and their combined benefit would be $840. This is shown in the upper left cell of the first table. Since a weekend getaway is a private good, if Poornima chooses to spend $300 on a weekend getaway, Poornima would get $300 of benefit from the weekend getaway and Valerie wouldn't receive any benefit from Poornima's choice. If Poornima still spends $300 on a weekend getaway and Valerie chooses to contribute $300 to the public park, Poornima would still receive the $210 of benefit from Valerie's generosity. In other words, if Poornima decides to keep the $300 for a weekend getaway and Valerie decides to contribute the $300 to the public project, then Poornima would receive a total benefit of $300+ $210 $510, Valerie would receive a total benefit of $210, and their combined benefit would be $720. This is shown in the lower left cell of the first table.