Business, 14.06.2021 18:20 kieramacphee3533
Consider a deplete-able resource (e. g. forest land) and a two-period model. Within each period, marginal benefit (MB) of, or willingness to pay for the resource is identical and given by the formula: P =50 -0.70. Marginal cost (MC) is a constant $10 per unit, and future values are discounted at a rate of 6 percent (0,06). Suppose there is a total of 120 units available for the two periods.
Required:
What is the expression for marginat net beneft (MNB) of the resource in the fort period?
Answers: 3
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Consider a deplete-able resource (e. g. forest land) and a two-period model. Within each period, mar...
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