Littleville was a river town consisting of farmers, a few merchants supplying goods and services, a few churches, a police station, a courthouse, and a community hall. All the people worked hard to earn money, but the money in the town simply circulated among the townspeople, with the merchants and city workers buying food from the farmers, the farmers buying goods and services from the merchants, and the farmers and merchants paying taxes, which paid the city workers. The town was poor, with little prospect for growth.

The city also had a sewage service. Each house had a sewer pipe that joined a larger pipe under the street. Each of the street pipes was connected to an even larger pipe that carried the waste to the river. And that was the end of the line. The waste dumped directly into the river.

Over time, the river became more and more polluted. Several town members, sickened by the foul river, urged Littleville leaders to build a sewage treatment facility, but the leaders said they would not spend the town's limited money on sewage; there were more important services to provide, like twice-weekly trash collection. After all, it was a very poor town.

What are example costs of the town? Provide specific examples.

What are example revenues of the town? Provide specific examples.

What are example potential benefits of the town? Provide specific examples

What are example trade-offs on the town? Provide specific examples.

What are example economic costs of the town? Provide specific examples.

What are example accounting costs of the town? Provide specific examples.

Explain/describe some unintended consequences of the town. Provide specific examples.

Make a discussion on what was the town's comparative advantage? Provide specific examples.

Consider examples of economic theory diverge from economic practice. Provide specific examples.

Explain/describe sharing of costs (balanced approach) to solve the town's problem. Provide specific examples.

What data, evidence would the town need to support decision- making process? Provide specific examples.