Suppose that an MBA degree creates no externality because the benefits of an MBA are internalized by the student in the form of higher wages. If there are no government subsidies for MBAs, then which of the following statements is correct? a. The equilibrium quantity of MBAs will equal the socially optimal quantity of MBAs. b. The equilibrium quantity of MBAs will be greater than the socially optimal quantity of MBAs. c. The equilibrium quantity of MBAs will be less than the socially optimal quantity of MBAs. d. There is not enough information to answer the question.

When booking personal travel by air, one is always interested in actually arriving at one’s final destination even if that arrival is a bit late. the key variables we can typically try to control are the number of flight connections we have to make in route, and the amount of layover time we allow in those airports whenever we must make a connection. the key variables we have less control over are whether any particular flight will arrive at its destination late and, if late, how many minutes late it will be. for this assignment, the following necessarily-simplified assumptions describe our system of interest: the number of connections in route is a random variable with a poisson distribution, with an expected value of 1. the number of minutes of layover time allowed for each connection is based on a random variable with a poisson distribution (expected value 2) such that the allowed layover time is 15*(x+1). the probability that any particular flight segment will arrive late is a binomial distribution, with the probability of being late of 50%. if a flight arrives late, the number of minutes it is late is based on a random variable with an exponential distribution (lamda = .45) such that the minutes late (always rounded up to 10-minute values) is 10*(x+1). what is the probability of arriving at one’s final destination without having missed a connection? use excel.