The graph shows the marginal private benefit from a law degree and the marginal cost of obtaining a law degree. The marginal external benefit is $16,000 per law graduate per year. What is the efficient number of students? If all law schools are private, how many students will enroll and what is the tuition? >>> Remember that the units on the axes are in thousands The efficient number of students is f government is not involved in educating lawyers, students enroll and tuition is a year Enter your answer in each of the answer boxes 56 45 40 32 24 16- $ Price and cost (thousands of dollars) S-MC D-MB 10 20 Students (thousands per year)

The graph shows the marginal private benefit from a law degree and the marginal cost of obtaining a law degree. The marginal external benefit is $16,000 per law graduate per year. What is the efficient number of students? If all law schools are private, how many students will enroll and what is the tuition? >>> Remember that the units on the axes are in thousands The efficient number of students is f government is not involved in educating lawyers, students enroll and tuition is a year Enter your answer in each of the answer boxes 56 45 40 32 24 16- $ Price and cost (thousands of dollars) S-MC D-MB 10 20 Students (thousands per year)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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subject:eco
The following table shows how the marginal benefit of a service varies for five consumers. Quantity 1 2 3 4 Serkan 150 125 100 75 Asuman 125 100 75 50 Bahar 100 75 50 25 Murat 200 150 125 125 Meriç 600 400 200 150 Derive the demand curve for this service assuming that it is a public good. If marginal cost of the good is 850, what is the efficient output of the public good? If marginal cost of the good is 425, what is the efficient output of the public good? If marginal cost of the good is 850, what is the efficient output assuming it is private good?
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