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Consider a lake that can be used by 100 fishermen. The fishermen do not own boats but instead can rent them for daily us
Posted: Wed Apr 27, 2022 1:09 pm
by answerhappygod
- Consider A Lake That Can Be Used By 100 Fishermen The Fishermen Do Not Own Boats But Instead Can Rent Them For Daily Us 1 (11.8 KiB) Viewed 22 times
Consider a lake that can be used by 100 fishermen. The fishermen do not own boats but instead can rent them for daily use at a cost c = 10 (dollars per day. If boats are hired on a particular day, the number of fish caught by each boat will be FB) - 100 - B. Let w = 30 (dollars per day be the opportunity cost of a fishermen, and let p = 1 be the price of fish so that total revenue will be equal to F(U). What is the socially optimum number of boats? Answer: