Econ Micro

Question

You own a pizza restaurant in Claremont that delivers in Claremont only.  If you wanted to decide whether to increase your delivery radius to include Upland by using benefit cost analysis, which of the following would be useful in your cost benefit analysis of this decision?

a.

The number of pizza restaurants that already deliver in Upland.

b.

The amount you spent 10 months ago to repair your refrigeration unit.

c.

The amount you paid an attorney last year to defend you against a frivolous wrongful termination claim.

d.

All of the above.

e.

None of the above.

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