September 13, 2015 No.7
https://www.facebook.com/mehtarahulc/posts/10153031349456922
Dear recallists,
.
A question wrt MRCM
.
Why company may run with motive of "mazimize profit from company land" while citizens and activists should run nation with "first minimize idle resources and then maximize rent" from govt land.
.
Say there are two units --- one is owned by private company and another is owned by Govt i.e. us 84 crore voters
.
Say both have 1000 parking slots.
.
Now
.
(A) if parking is priced at Rs 10 per hour, then all just 1% plots remain vacant. Revenue = Rs 10000 per hour.
.
(B) But if parking is priced at Rs 20 per hour, then 200 plots remain empty. Revenue = Rs 20 * 800 = Rs 16000
.
(C) If parking is kept Rs 5 then all lots are full, but 100 cars go wandering for parking slot.
.
Then why is may be good for company to use pricing (B) on its own plot, but citizens should use method (A)?
https://www.facebook.com/mehtarahulc/posts/10153031349456922
Dear recallists,
.
A question wrt MRCM
.
Why company may run with motive of "mazimize profit from company land" while citizens and activists should run nation with "first minimize idle resources and then maximize rent" from govt land.
.
Say there are two units --- one is owned by private company and another is owned by Govt i.e. us 84 crore voters
.
Say both have 1000 parking slots.
.
Now
.
(A) if parking is priced at Rs 10 per hour, then all just 1% plots remain vacant. Revenue = Rs 10000 per hour.
.
(B) But if parking is priced at Rs 20 per hour, then 200 plots remain empty. Revenue = Rs 20 * 800 = Rs 16000
.
(C) If parking is kept Rs 5 then all lots are full, but 100 cars go wandering for parking slot.
.
Then why is may be good for company to use pricing (B) on its own plot, but citizens should use method (A)?
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