can someone help this? A Free Circus and City Size Consider a region with a fixe

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can someone help this?

A Free Circus and City Size Consider a region with a fixed population of 2 million. The urban utility curve reaches the maximum utility with 1 million people, and initially there are two cities, R and S, each with 1 million people. The positively sloped portion of the urban utility curve is steeper than the negatively sloped portion. Suppose a dictator in city R starts to provide free circuses, financed by coersive transfer payments from people outside the region. a. Show the effect of the free circuses on the urban utility curve in city R. Assume that the the utility-maximizing population doesn't change b. People will migrate from city to city_because c. Arrows up or down: Migration d. Show the new equilibrium distribution of population betweeen the two cities. The population in city R isand the population in city S is_ utility in city S

Explanation / Answer

a. The urban utility curve in city R will shift upward due to free circus.

b. People will migrate from city S to city R because utility is higher in R.

c. Arrows up or down,

Migration decreases utility in city R and decreases utility in city S.

d. The new equilibrium will be.

The population in city R is 2 million and the population in city S is zero.

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