According to a study by economists Ian Ayres and Steven Levitt, the division of the total benefit of the Lojack to its owners and all other car owners is:

A. 100 percent to the car owner with a Lojack, 0 percent to other car owners.
B. 10 percent to the car owner with a Lojack, 90 percent to other car owners.
C. 75 percent to the car owner with a Lojack, 25 percent to other car owners.
D. 50 percent to the car owner with a Lojack, 50 percent to other car owners.


Answer: B

Economics

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