Assume that a government is considering a new social program and may choose to include in this program any number of four progressively larger projects.The marginal cost and the marginal benefit of each of the four projects is provided in the table. Refer to the above table and information.What are the total costs and total benefits of doing projects A,B,and C?
A) Total cost is $5 billion and total benefit is $7 billion.
B) Total cost is $4 billion and total benefit is $7 billion.
C) Total cost is $9 billion and total benefit is $12 billion.
D) Total cost is $16 billion and total benefit is $20 billion.

Question

Assume that a government is considering a new social program and may choose to include in this program any number of four progressively larger projects.The marginal cost and the marginal benefit of each of the four projects is provided in the table.  Refer to the above table and information.What are the total costs and total benefits of doing projects A,B,and C?
A) Total cost is $5 billion and total benefit is $7 billion. 
B) Total cost is $4 billion and total benefit is $7 billion. 
C) Total cost is $9 billion and total benefit is $12 billion. 
D) Total cost is $16 billion and total benefit is $20 billion.

Quizplus · Accepted Answer

The Answer of Assume that a government is considering a new social program and may choose to include in this program any number of four progressively larger projects.The marginal cost and the marginal benefit of each of the four projects is provided in the table.  Refer to the above table and information.What are the total costs and total benefits of doing projects A,B,and C?
A) Total cost is $5 billion and total benefit is $7 billion. 
B) Total cost is $4 billion and total benefit is $7 billion. 
C) Total cost is $9 billion and total benefit is $12 billion. 
D) Total cost is $16 billion and total benefit is $20 billion.

Assume That a Government Is Considering a New Social Program