For a fixed resource like land to be allocated to its highest valued use
A) a good social plan is needed.
B) it should be allocated to those who will pay the most.
C) it should be taxed at 100 percent of its rental value.
D) it should be offered to those who promise to put it to its best use.

Question

Quizplus · Accepted Answer

Allocating the land to those who are willing to pay the most ensures that it goes to its highest valued use, as the market demand will determine the price. This also encourages efficient use of the resource, as those who do not value it highly will not be willing to pay as much and will use it for a less valuable purpose. However, it is important to ensure that the process is fair and not monopolized by a few wealthy individuals or businesses.

For a Fixed Resource Like Land to Be Allocated to Its