Question 3
Question 3 (2 points) Table 11-1Consider the town of Tritown with only three residents, Ed, Jim, and Tony. The three residents are trying to determine how large, in acres, they should build the public park. The table below shows each resident’s willingness to pay for each acre of the park.Acres Ed Jim Tony 1 $12 $16 $28 2 8 12 24 3 4 8 20 4 2 4 16 5 0 1 12 6 0 0 8 7 0 0 4 Refer to Table 11-1. Suppose the cost to build the park is $30 per acre and that the residents have agreed to split the cost of building the park equally. To maximize his own surplus, how many acres would Jim like Tritown to build the park?
(2 points) Table 11-1Consider the town of Tritown with only three residents, Ed, Jim, and Tony. The three residents are trying to determine how large, in acres, they should build the public park. The table below shows each resident’s willingness to pay for each acre of the park.Acres Ed Jim Tony 1 $12 $16 $28 2 8 12 24 3 4 8 20 4 2 4 16 5 0 1 12 6 0 0 8 7 0 0 4 Refer to Table 11-1. Suppose the cost to build the park is $30 per acre and that the residents have agreed to split the cost of building the park equally. To maximize his own surplus, how many acres would Jim like Tritown to build the park?
