Solved

Assume That Each Day Ten Thousand Children Watch Sesame Street

Question 23

Multiple Choice

Assume that each day ten thousand children watch Sesame Street on public television and that the educational benefits of watching Sesame Street generate private benefits of $100 per child per year and a positive externality of $50 per child per year.No products are advertised on Sesame Street but once a year the stations hold a pledge drive.During pledge drives viewers are asked to make voluntary contributions to the public station in order to keep the programming viable.
The broadcast of Sesame Street yields total private benefits of ____ and total social benefits of _____.


A) $10,000;$15,000
B) $1,000,000;$1,500,000
C) $100,000;$150,000
D) $1,000,000;$500,000

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents