Economics: Principles, Problems, and Policies, 19th Edition

Published by McGraw-Hill Education
ISBN 10: 0073511447
ISBN 13: 978-0-07351-144-3

Chapter 17 - Asymmetric Information, Voting, and Public Choice - Problems - Page 372: 2b

Answer

Amount of money received by a sugar beet grower: ${$5,769.23}$ Amount of money received by a sugarcane grower: ${$50,000}$

Work Step by Step

${$75,000,000}$ goes to each the sugarcane growers and sugarbeet growers. So to find the amount given to each individual grower, we can divide ${$75,000,000}$ by the number of growers of each. Amount of money received by a sugar beet grower: $\frac{$75,000,000}{13,000}$ = ${$5,769.23}$ Amount of money received by a sugarcane grower: $\frac{$75,000,000}{1500}$ = ${$50,000}$
Update this answer!

You can help us out by revising, improving and updating this answer.

Update this answer

After you claim an answer you’ll have 24 hours to send in a draft. An editor will review the submission and either publish your submission or provide feedback.