Question

Santa Catarina, California is considering buying some beach-front property to be used as a park. After surveying the entire population of 100 people the city government determines that each individual is willing to pay $10 for each acre of the park. If the cost of an acre of beach front property (p) is given by c(p) = 100p 2 what is the Pareto efficient number of acres for the park?

ANSWER IS 5 ; EXPLAIN THOROUGHLY

Answer 1