Problem
There are three people in a community. The government is proposing to build a bridge in that community. The bridge costs $120 to construct. Everyone values the bridge at $60. Is it efficient to build the bridge? Suppose the government asks people what the bridge is worth to them and plans to tax them the amount that they say. If two people truthfully reveal to the government that the bridge is worth $60 to them, will the third person give his true valuation as well?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.