3. With regard to Exercise 2, suppose that the discount rate is 10 percent, and variable costs...
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3. With regard to Exercise 2, suppose that the discount rate is 10 percent, and variable costs are –0.10. The city is not taxed. How do these factors affect the estimate of expected utility that you developed in Exercise 2?
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Authors: John W. Boudreau, Wayne F. Cascio, Alexis A. Fink
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