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Samantha, Ellen, Jane and Daria are looking to construct a community garden which they will share and work on together. The garden will cost them
Samantha, Ellen, Jane and Daria are looking to construct a community garden which they will share and work on together. The garden will cost them $1,200 to construct. Samantha and Ellen are both willing to pay $400 each, Jane is willing to pay $300 and Daria is only willing to pay $150. Daria and Jane earn twice as much asSamanthaand Ellen.
Answer the following questions:
- Assuming the community garden is a public good, and considering the marginal benefits and marginal costs involved, would it be constructed?________.Type Y for Yes or N for No.
- Samantha suggests they use a proportional taxation system, how much will Ellen pay? $__________. Answer to the nearest whole dollar (with no decimal places).
- Would the four agree to fund the garden using a proportional taxation system?_________.Type Y for Yes or N for No.
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