What is difficult about using cost-benefit analysis to estimate the level of a public good that will maximize social welfare? it is difficult to estimate the marginal costs of supplying a public good. the government cannot use cost-benefit analysis to estimate this. it is difficult to estimate the marginal social benefits of supplying a public good. the costs of using it may make the provision of the public good prohibitive.

Garrett is an executive vice president at samm hardware. he researches a proposal by a larger company, maximum hardware, to combine the two companies. by analyzing past performance, conducting focus groups, and interviewing maximum employees, garrett concludes that maximum has poor profit margins, sells shoddy merchandise, and treats customers poorly. what actions should garrett and samm hardware take? a. turn down the acquisition offer and prepare to resist a hostile takeover. b. attempt a friendly merger and use managerial hubris to improve results at maximum. c. welcome the acquisition and use knowledge transfer to impart sam hardware's management practices. d. do nothing; the two companies cannot combine without samm hardware's explicit consent.