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Lolita wants to purchase a beautiful art deco office building built in the 1920s, tear it down, and

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8 years ago

Lolita wants to purchase a beautiful art deco office building built in the 1920s, tear it down, and

Lolita wants to purchase a beautiful art deco office building built in the 1920s, tear it down, and construct a rather bland, glass-and-steel office building that will confer $2 million of benefits to society. In its current state, the art deco office building is worth $1.7 million. Lolita goes to the city council with her proposal and tells the council members that the new office building will hold more tenants and therefore increase employment and tax revenues. If the city council agrees to use eminent domain to allow Lolita to proceed with her project, the benevolent social planner will
A) be unhappy since the area will become less interesting, aesthetically.
B) rejoice since the size of the economic pie will increase.
C) remain indifferent since the reduced beauty will be offset by the change in the size of the economic pie.
D) be unhappy since the size of the economic pie will decrease.

Textbook

Economic Analysis of Social Issues

Edition: 1^st

Author: Grant

Read 896 times

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IloveChi

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Cuba Author

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8 years ago

Very, very helpful. Will mark this topic solved.

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IloveChi

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8 years ago

Awesome

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SWalkowe

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4 years ago

Thank you

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bio_man

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Educator

4 years ago

Thanks!

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