Question
A school district near here receives $10,000 in annual revenue and spends $2,500 on education (R) while spending the remaining revenue on everything else (X).
A school district near here receives $10,000 in annual revenue and spends $2,500 on education (R) while spending the remaining revenue on everything else (X). a. Graph the PPF/Budget constraint, with R on the x axis, and indicate the current expenditure choice, m b. The district qualifies for a restricted block grant of $1,000 to help support student progress. Graph the new tax revenue + grant revenue constraint. Indicate the expenditure point given the assumption that the district will spend half of the grant on education c. The neighboring school district collects the same $10,000 in tax revenue but spends $3,750 on education and does not qualify for a restricted grant. What might this imply about total resource policies?
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