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The city of Odessa, the county seat, has 10,000 people, most of who work in farming, small business, and county government. The U.S. Department of

The city of Odessa, the county seat, has 10,000 people, most of who work in farming, small business, and county government. The U.S. Department of Defense has recently announced plans to build and staff an army infantry training base nearby. The base will bring about 10,000 people to the town over the next three years. About half of these people will be permanent residents, and the other half will turn over every twelve months. To provide for this population growth the city would provide the following services:

  • 10 new police officers
  • 3 new police cars
  • 10 new firefighters
  • 2 new fire engines
  • 1 sewage disposal plant
  • construction of new sewer lines
  • 1 new school
  • 1 new library
  • 20 more teachers
  • 100 miles of new roads

The city council's problem is that it has the resources to provide only three (3) of these needs services by the time the base is finished. Each of these ten services will cost the city the same amount of money. As a member of the city council, which would you provide and which would you not provide? Explain the benefits the town will receive and identify the opportunity costs involved in your decision.

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