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Business, 20.09.2020 18:01 Alex4530

In a particular county in the State of Arkansas, four election issues are on the ballot: Build new highways, increase gun control, increase farm subsidies, and increase gasoline tax. The county includes 100,000 urban voters, 250,000 suburban voters, and 50,000 rural voters, all with varying degrees of support for and opposition to election issues. For example, rural voters are opposed to gun control and gas tax and in favor of road building and farm subsidies. The county is planning a TV advertising campaign with a budget of $100,000 at the cost of $1,500 per ad. The following table summarizes the impact of a single ad in terms of the number of pro and con votes as a function of the different issues: Issue Urban Suburban Rural
New highways −30,000 60,000 30,000
Gun control 80,000 30,000 −45,000
Farm subsidies 40,000 10,000 0
Gas tax 90,000 0 −25,000

An issue will be adopted if it garners at least 51% of the voters. Which issues will be approved by voters and how many ads should be allocated to these issues?

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