A government is considering undertaking a construction project of an increasing scale (ranging from 1, 2, 3, to 4). The estimated marginal costs and marginal benefits of each successive scale of the project are given in the table below. What is the total amount that the government should spend on the construction project to attain maximum net benefits for the society?

Question

A government is considering undertaking a construction project of an increasing scale (ranging from 1, 2, 3, to 4). The estimated marginal costs and marginal benefits of each successive scale of the project are given in the table below.  What is the total amount that the government should spend on the construction project to attain maximum net benefits for the society?

Quizplus · Accepted Answer

The Answer of A government is considering undertaking a construction project of an increasing scale (ranging from 1, 2, 3, to 4). The estimated marginal costs and marginal benefits of each successive scale of the project are given in the table below.  What is the total amount that the government should spend on the construction project to attain maximum net benefits for the society?

A Government Is Considering Undertaking a Construction Project of an Increasing