Question
Conner runs a rafting company on a local river. He runs two kinds of tripsa wild whitewater experience and a more mellow wildlife tour. If
Conner runs a rafting company on a local river. He runs two kinds of tripsa wild whitewater experience and a more mellow wildlife tour. If he spends the day only doing whitewatertrips, he can do 4 trips perday; if he spends the day only doing wildlifetrips, he can do 6 trips. If he does some ofeach, however, he can do more totaltrips: 3 whitewater trips and 5 wildlife trips. Suppose thatConner's time is valued at $25 an hour. What can you say about his economies ofscope? Thatis, what is the sign of his measure of economies ofscope, SC?
Conner's measure of economies of scope(SC) is
a) Positive
b) Negative
c) Zero
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