Answer:
:-) -,-
Explanation:
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Answer:
The answer is: B) No, since the marginal cost of drug control exceeds the marginal benefit, the government should not spend $4,170 to deter one person from using drugs.
Explanation:
There are two ways in analyzing this situation, economically the government shouldn't spend that much money to prevent someone from using drugs, the marginal costs are much larger than the marginal benefits ($4,170 ˃ $897).
But if you only use this type of analysis for government spending, why should the firefighters try to stop a fire? Many times it is much more expensive and risky to do it.
<u> </u><u>The </u><u>Economies of </u><u>scale </u> occur when the average unit cost of a good or service begins to increase as the capacity and/or volume of throughput increases.
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