The following data show the relationship between the number of drivers who leave for work at 8 a.m., their average commute time, and their marginal benefit of commuting. $$\begin{array} { | c | c | c | }
\hline \begin{array} { c }
\text { Number of Drivers } \
\text { Who Leave at 8 a.m. }
\end{array} & \begin{array} { c }
\text { Average } \
\text { Camunute Time }
\end{array} & \begin{array} { c }
\text { Murginal } \
\text { Bemefit }
\end{array} \
\hline 100 & 30 \text { minutes } & \$ 10 \
\hline 200 & 65 \text { mirutes } & \$ 8 \
\hline 300 & 110 \text { minutes } & \$ 4 \
\hline 400 & 170 \text { mirutes } & \$ 3 \
\hline 500 & 260 \text { rinutes } & \$ 1 \
\hline
\end{array}$$
If there is no charge to use the highway, then one would expect that ________ than the socially optimal number of drivers will leave at 8 a.m. because ________.
A)more; each driver's use of the highway imposes an external cost on other drivers by increasing the commute time
B)more; the social marginal benefit of using the highway is greater than the private marginal benefit
C)less; each driver's use of the highway imposes an external cost on other drivers by increasing the commute time
D)less; the private marginal benefit of using the highway is greater than the social marginal benefit

Question

The following data show the relationship between the number of drivers who leave for work at 8 a.m., their average commute time, and their marginal benefit of commuting. $$\begin{array} { | c | c | c | } 
\hline \begin{array} { c } 
\text { Number of Drivers } \
\text { Who Leave at 8 a.m. }
\end{array} & \begin{array} { c } 
\text { Average } \
\text { Camunute Time }
\end{array} & \begin{array} { c } 
\text { Murginal } \
\text { Bemefit }
\end{array} \
\hline 100 & 30 \text { minutes } & \$ 10 \
\hline 200 & 65 \text { mirutes } & \$ 8 \
\hline 300 & 110 \text { minutes } & \$ 4 \
\hline 400 & 170 \text { mirutes } & \$ 3 \
\hline 500 & 260 \text { rinutes } & \$ 1 \
\hline
\end{array}$$  
If there is no charge to use the highway, then one would expect that ________ than the socially optimal number of drivers will leave at 8 a.m. because ________.
A)more; each driver's use of the highway imposes an external cost on other drivers by increasing the commute time
B)more; the social marginal benefit of using the highway is greater than the private marginal benefit
C)less; each driver's use of the highway imposes an external cost on other drivers by increasing the commute time
D)less; the private marginal benefit of using the highway is greater than the social marginal benefit

Quizplus · Accepted Answer

Each driver does not consider the additional congestion they create for others when deciding to use the highway at 8 a.m., leading to more drivers choosing to leave at this time than is socially optimal. This behavior increases the overall commute time for everyone, representing an external cost not accounted for in individual decisions.

The Following Data Show the Relationship Between the Number of Drivers