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need help fast. Five roommates are planning to spend the weekend in their dorm room watching movies, and they are debating how many movies to

need help fast.

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Five roommates are planning to spend the weekend in their dorm room watching movies, and they are debating how many movies to watch. Here is their willingness to pay: Willingness to Pay (Dollars! Gilberto Lorenzo Sam Andrew Darnell First lm 18 15 10 B 5 Second 16 12 8 5 1 lm Third film 14 9 6 O 0 Fourth lm 12 6 3 O 0 Fifth lm 10 3 O O 0 Buying a DVD costs $20, which the roommates split equally, so each pays $4 per movie. The efcient number of movies to watch (that is, the number that maximizes total surplus) is movies. Complete the following table by indicating the preferred number of movies from the standpoint of each roommate. Roommate D 1 2 3 4 5 Gilberto - - - - - - The median roommate prefers movies. Suppose the roommates held a vote on the efficient outcome versus the median voter's preference. Complete the following table by indicating how each person would vote in this case. Roommate Efficient Outcome Median Voter Outcome Gilberto Lorenzo And rew efcient outcome The winning outcome according to majority rule is the i . If one of the roommates proposed a different number of movies, his proposal could beat the winner from the previous vote. - True False E cannot Majority rule ' be counted on to reach efcient outcomes in the provision of public goods

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