8.1 The U.S. National Park Service wants to restrict the number of visitors to Yosemite National Park

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8.1 The U.S. National Park Service wants to restrict the number of visitors to Yosemite National Park to Q*, which is fewer than the current volume.

It considers two policies:

(a) raising the price of admissions and

(b) setting a quota that limits the number of visits by in-state residents. Compare the effects of these two policies on consumer surplus and welfare. Use a graph to show which policy is superior by your criterion.

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Microeconomics

ISBN: 9780133456912

7th Edition

Authors: Jeffrey M. Perloff

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