A government airline safety regulation reduces the probability of a fatal airline crash by 0.005. If the costs associated with each airplane crash are equal to $600 million, the regulation has an expected marginal benefit of at least:
A. $3,000,000.
B. $600,000.
C. $1,000,000.
D. $2,000,000.
Answer: A
Economics
You might also like to view...
Which theory of economic growth concludes that in the long run real GDP per person will be at its subsistence level?
A) the classical theory B) the neoclassical theory C) the new growth theory D) all of the theories
Economics
Why should people without children pay some tax to support local schools?
What will be an ideal response?
Economics