Multiple Choice (40 questions, 4 pts. each) Page of20 The town of Schitt's Creek has around 700 residents. They fall into three types, each of which value street cleanings with the marginal benets shown below. There are 200 Type A people, 200 Type B people, and 300 Type C people. Assume street cleanings are nonrival and reet cleaning is $C. Use this information for nonexcludable, and the marginal social cost per 3 the following 2 questions. Street Type A MB Type B MB Twe C MB Cleaning (55) ($) ($) 1 100 50 20 2 80 40 15 3 60 30 10 4 40 20 5 5 20 10 0 l. (Schitt's Streets) If the socially optimal number of cleanings is 4, which of the following is a possible value for $C? a. $16,000 b. $11,500 c. $5,500 d. $3,000 2. (Schitt's Streets) It turns out the cost per cleaning is C = $14,000. The town council decides to fund provision of street cleanings by taxing residents $20 each. What is the total surplus for all Type C people combined? a. $4,500 b. $2,250 0, $1,000 d. None of the above. 0 ZOOM +