Suppose the market consists of 3 individuals: Citizen A, Citizen B and Citizen C. If the good shown on the graphs is a public good, then the marginal benefit of the 30ᵗʰ unit is:

Question

Suppose the market consists of 3 individuals: Citizen A, Citizen B and Citizen C.  If the good shown on the graphs is a public good, then the marginal benefit of the 30ᵗʰ unit is:

Quizplus · Accepted Answer

Citizen A is willing to pay $3 for the 30ᵗʰ unit, Citizen B is willing to pay $2, and Citizen C is willing to pay $4. Thus, the marginal benefit of the 30ᵗʰ unit is $3 + $2 + $4 = $9.

Suppose the Market Consists of 3 Individuals: Citizen A, Citizen