Four stores have a problem with theft and security is a public good.Let S stand for the number of person-hours of security patrols per week.The marginal benefit of security patrols to each of the stores is given by the formula Patrols cost $25 per hour.What is the socially efficient level of security?
A) 15 person-hours of patrols per week
B) 7 person-hours of patrols per week
C) 8 person-hours of patrols per week
D) 16 person-hours of patrols per week

Question

Four stores have a problem with theft and security is a public good.Let S stand for the number of person-hours of security patrols per week.The marginal benefit of security patrols to each of the stores is given by the formula  Patrols cost $25 per hour.What is the socially efficient level of security?
A) 15 person-hours of patrols per week 
B) 7 person-hours of patrols per week 
C) 8 person-hours of patrols per week 
D) 16 person-hours of patrols per week

Quizplus · Accepted Answer

The Answer of Four stores have a problem with theft and security is a public good.Let S stand for the number of person-hours of security patrols per week.The marginal benefit of security patrols to each of the stores is given by the formula  Patrols cost $25 per hour.What is the socially efficient level of security?
A) 15 person-hours of patrols per week 
B) 7 person-hours of patrols per week 
C) 8 person-hours of patrols per week 
D) 16 person-hours of patrols per week

Four Stores Have a Problem with Theft and Security Is