Suppose 15 people each have the demand Q=220 - 40P for streetlights, and 10 people have the demand Q = 180 - 20P for streetlights. The cost of building each streetlight is $8. If it is impossible to purchase a fractional number of streetlights, how many streetlights are socially optimal?

Suppose 15 people each have the demand Q=220 - 40P for streetlights, and 10 people have the demand Q = 180 - 20P for streetlights. The cost of building each streetlight is $8. If it is impossible to purchase a fractional number of streetlights, how many streetlights are socially optimal?

Economics:

10th Edition

ISBN:9781285859460

Author:BOYES, William

Publisher:BOYES, William

Chapter27: Markets And Government

Section: Chapter Questions

Problem 5E

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Suppose 15 people each have the demand Q=220 - 40P for streetlights, and 10 people have the demand Q = 180 - 20P for streetlights. The cost of building each streetlight is $8. If it is impossible to purchase a fractional number of streetlights, how many streetlights are socially optimal?

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