Q:Jill and Jack both have two pails that can be used to carry water down from a hill. Each makes only one trip down the hill, and each pail of waterQ:Consider the following "dating game," which has two players, A and B, and two strategies, to buy a movie ticket or a baseball ticket. The payoffs,Q:The owner of a thriving business wants to open a new office in a distant city. If he can hire someone who will manage the new office honestly, he canQ:If Congress could declare illegal any activity that imposes external costs on others, would such legislation be advisable?Q:What incentive problem explains why the freeways in cities like Los Angeles suffer from excessive congestion?Q:How would you explain to a friend why the optimal amount of freeway congestion is not zero?Q:Why does the Great Salt Lake, which is located wholly within the state of Utah, suffer lower levels of pollution than Lake Erie, which is bordered byQ:Explain why the wearing of high-heeled shoes might be viewed as the result of a positional externality.Q:Suppose the law says that Jones may not emit smoke from his factory unless he gets permission from Smith, who lives downwind. The relevant costs andQ:John and Karl can live together in a two-bedroom apartment for $500 per month, or each can rent a single-bedroom apartment for $350 per month. AsideQ:Barton and Statler are neighbors in an apartment complex in downtown Manhattan. Barton is a concert pianist, and S