HW - Market Failures Saved Artville is deciding whether to purchase a new statue for the center of town. The statue will cost the city $20,000 and will only be purchased if the costs are covered. The city is asking for households to help cover the cost of the statue, but households are not forced to contribute. Instructions: Enter your answer as a whole number 0.12 points a. If households are asked to contribute $5 each to help cover the cost of the statue, how many households will need to contribute? households b. If the population of Artville is 4,000 households, of which 3,000 households are expected to free ride, will the city be able to afford the statue if it charges each household $14? Print

O No

O Yes