Three roommates, Alan, Billy and Casey, are planning to spend the weekend in their dorm room watching old movies, and they are debating how many to watch. Table below indicates their willingness to pay for each movie: 1st movie 2nd movie 3rd movie 4th movie 5th movie Alan $20 $10 $0 $0 $0 Billy $30 $20 $10 $0 $0 Casey $50 $40 $30 $20 $10 Explain why some people believe that the showing of a movie within the dorm room is a public good.
Three roommates, Alan, Billy and Casey, are planning to spend the weekend in their dorm room watching old movies, and they are debating how many to watch. Table below indicates their willingness to pay for each movie: 1st movie 2nd movie 3rd movie 4th movie 5th movie Alan $20 $10 $0 $0 $0 Billy $30 $20 $10 $0 $0 Casey $50 $40 $30 $20 $10 Explain why some people believe that the showing of a movie within the dorm room is a public good.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Question
Three roommates, Alan, Billy and Casey, are planning to spend the weekend in their dorm room watching old movies, and they are debating how many to watch. Table below indicates their willingness to pay for each movie:
|
|
1st movie
|
2nd movie
|
3rd movie
|
4th movie
|
5th movie
|
|
Alan
|
$20
|
$10
|
$0
|
$0
|
$0
|
|
Billy
|
$30
|
$20
|
$10
|
$0
|
$0
|
|
Casey
|
$50
|
$40
|
$30
|
$20
|
$10
|
Explain why some people believe that the showing of a movie within the dorm room is a public good.
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