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E202Exam1.1

E202Exam1.1 - Exam One Name Chapter 1 1(8 pts Residents of...

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Exam One Name __________________________ Chapter 1 1. (8 pts) Residents of your city are charged a fixed weekly fee of $6 for garbage collection. They are allowed to put out as many cans as they wish. The average household disposes of three cans of garbage per week under this plan. Now suppose that your city changes to a “tag” system. Each can of refuse to be collected must have a tag affixed to it. The tags cost $2 each and are not reusable. What effect do you think the introduction of the tag system will have on the total
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