For this assignment, we will watch some scenes in the movie “Total Recall” with Arnold Schwarzenegger. (The movie has been remade, but I’m going with The Terminator’s version here.) The movie involves a colony on Mars where the air supply is controlled by a monopolist governor, Vilos Cohaagen, who periodically cuts off the air to different parts of the colony to ensure that people pay the price demanded. A rebellion is underway against the governor, but that’s not the part we are interested in. (If you know the plot of the original movie, Mars can have its own air supply, and the governor is keeping knowledge regarding this from getting out.)
Do you think that the potential of for-profit companies to refuse to supply except at a very high price is a barrier to the market supply of water? Do you think that a water or air monopolist would charge an exorbitant price and then cut people off and let them die if they refused to or were unable to pay? Would this be good business? Would profit maximization, properly understood, lead a for-profit supplier of air or water, even if a monopolist, to be more humane?
Write a 2-3 page essay on the topic described above.