; l j wily Funchions -| “Unis is trne, Since Pre. de Mauss ae pees Eco dal \ Root, sie O b | em Set Te uncertntn te Paint 18 preferred. “goth peint AB yond Care Pareto ebiiend rane Poink Bis 22 i nthe. ic Pareto cblrcienh, = feat eva ee D foc Bill, RE point D, if a eae more food and ~ Clothing brn at Poirat- Ann alse prefes pend % @ Das a . si oF diminithe my is“ prapimized wher have downword slepe, for: Dr exemple a Smaller aondurdh sof pabla sn goods ud wen pdb a ea ee This is false becamse i body consumes pact ' . ime pagel “bene fk rch qu Tae verge beneF "of al be cnswmers for ¢iciency fe held; paris For a public gor pe Scanned with CamScannerPort Io. . oe — - ‘ la.| Aftu- dre policy thane, phe obfected_groups increased wert $la00 and __g/300 respectively, Te both qrouptr, are gue , Tren we Can cee He new policy's era | has Meremes carainys £100. The name of this S type of estmativn! is ice as ieee: ndiffeencer( qusoi - x peri a proach, a oes Bal Affected Group: $1¢, aco -$ncco = $1,200 . Vaatfected Group: 411,200 -416, 400 = $\300% fei _ tial Ub | The. astamption you must nrale is trot beth. groups Clonemit: situation J feths art shad a Chant ap if Here was spot a -polfe — Cheng, dein ta vesuld [estonia drs EDL he Weernsapr aoc ntreactal lor _brased. a po ee ee “ghner, not Pareto efiaut duet for bab is l ond the MR for A\ -Pabien = a Scanned with CamScanner Carninyg ond the wnat fected group's inertored._Carring ies Joh as. Bob and Al having diftererd MES (Maninal Redes of Substitute n), We es same, wheter Here was a policy Change or not TF one group ___ incoures than the ofhen e- eUa} Oranges Orungah1 U4ili Te 50 W a 46 al 4S go = 3¢ 3¢ 39) Senet 2 Te NV 50 ( a. oO Yb | tee Ubtanion SWE Achieves 15 mae. allocalion when | Oranges Crusoe ant Or Fridou 238 respective OC! wen the Usilitectan’ WF = Felsen “ ged | Dronges Leugoe _Orrmges Yi A : ° pails O 50. : b ce 4g __ a te ___ | ae 4 3 5 se SoS 1 — 5 Tre Vili teen SWE is moxinized and Oranges M1 2, luetay 264) _ a Scanned with CamScanner| Since public radio stehins provides _ fee music Jsecvices to istenes iti considered’ a public good. Public gods eee incentivi2es people te Freeride ad not conkcbube/eeappard Es Whe radio chibuns, Since consumes are singe He provided sevice withouf paying for id, Wh causes — redro sate ac —— SM AEEEESY o® D . de _aluoys be in® fnancial jeopardy. — — a ee ee ee OE oe : Bretarts jnsaice Mpclo gee Clo. and ML24(00.— 9 | Lilo -AIODQ.) x SO = SOO - S$ Qobetar —__ : o ) Ai t Brref ts 900-5 Q 2100 ______ = a po Pareto efeicienf Quantity = 50 CLARA ~____— ee ; $00 — Sl¢o. oO ws a tel tateak wil nod reper their marginal benelit Lanetions _(@_| re because phere ic Be ineentve do lie Sp _____ ON [sad Lely con reach 100 rtantes of Frewoks, since itis free, _| Ak thot pom, the marginal benefit will egued O. Scanned with CamScanner