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corie corie
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6 years ago
Visitors to National Parks cause damage and increased maintenance costs on the parks.  The marginal external cost of visitors is: MEC(q) = 1.5q, where q is the number of visitors to National Parks in thousands.  The marginal benefit to visitors of attending National Parks is: MB(q) = 75 - 0.5q.   If the Parks do not charge a fee, how many visitors will attend the National Parks.  What is the optimal level of park visitation?  If the National Parks were to establish a park visitation fee, what is the optimal level of the fee?
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Microeconomics

Microeconomics


Edition: 8th
Author:
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Bart_argBart_arg
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