Assume that you are the vice president of movie production for a major Hollywood studio. You need to compose a memo to your film’s finance team justifying the hiring of scientists and mathematicians to act as consultants on your film. Use your answers from question 1 to write a brief summary of the memo. Ensure that you use the concepts of scarcity, opportunity cost, trade-off, monetary incentive, marginal benefit, and marginal cost appropriately.
To provide realistic special effects, production studios need to hire scientists and mathematicians. What other production activities could studios engage in if they didn’t hire these mathematicians and scientists?