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    reduce the problem of excessive drinking

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    A club charged its customers an upfront fee to be able to drink an unlimited amount of alcohol. Since excessive drinking was seen as a problem the club started charging per drink.

    What are two other solutions besides a per drink fee to solve the problem of excessive drinking?

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    Solution Preview

    1. The club can restrict the number of drinks with the upfront fee. For example, say no more than 3 beer ...

    Solution Summary

    Externality charges are brainstormed and discussed in the solution.