of 20Question 19 of 20 >Submit AllSpecialized electronic batteries, such as those for laptops, arehard to dispose of safely, yielding excess pollution when onegets thrown away. Suppose that producing these batteriesMarket for Laptop Batteries1,000950900850creates an external cost of $150 per unit. The accompanyingdiagram depicts the market for these batteries in which theseSupplyexternal costs are not internalized. Please adjust the008750700650600appropriate curves to represent the market if the external costsare internalized.550500450400350300250200150100Demand500.1,000 2,0003,000 4.000 5,000 6,000 7,000 8,000Quantity Vate WindowsGo to Settings to activate Windows85%Q市市市山合电后中11/2HDMLAPTOP LOGINHIGH-DEFINITION MULTIMEDIA INTEacerUSERNAME: studentPrice

Internal costs are expenses incurred by a business or organization that are directly related to its…

Question 19 of 20 <> Specialized electronic batteries, such as those for laptops, are hard to dispose of safely, yielding excess pollution when one gets thrown away. Suppose that producing these batteries creates an external cost of $150 per unit. The accompanying 1,000 950 diagram depicts the market for these batteries in which these 900 850 external costs are not internalized. Please adjust the 800 750 appropriate curves to represent the market if the external costs 700 are internalized. 650 600 550 500 rice

Question 19 of 20 <> Specialized electronic batteries, such as those for laptops, are hard to dispose of safely, yielding excess pollution when one gets thrown away. Suppose that producing these batteries creates an external cost of $150 per unit. The accompanying 1,000 950 diagram depicts the market for these batteries in which these 900 850 external costs are not internalized. Please adjust the 800 750 appropriate curves to represent the market if the external costs 700 are internalized. 650 600 550 500 rice

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter12: Environmental Protection And Negative Externalities

Section: Chapter Questions

Problem 41P: Refer to Table 12.2. The externality created by the refrigerator production was 100. However, once...

See similar textbooks

Similar questions

Refer to Table 12.2. The externality created by the refrigerator production was 100. However, once we accounted for both the private and additional external costs, the market price increased by only 50. If the external costs were 100 why did the price only increase by 50 when we accounted for all costs?
In a market without environmental regulations, will the supply curve for a film account for private costs, external costs, both, or neither? Explain.
Suppose you want to put a dollar value on the external costs of carbon emissions from a power plant. What information or data would you obtain to measure the external [not social] cost?
Consider two approaches to reducing emissions of CO2 into the environment from manufacturing industries in the United States. In the first approach, the U.S. government makes it a policy to use only predetermined technologies. In the second approach, the U.S. government determines which technologies are cleaner and subsidizes their use. Of the two approaches, which is the command-and-control policy?
What is a marketable permit and what incentive does it provide for a firm to account for external costs?
A country called Sherwood is very heavily covered with a forest of 50,000 trees. There are proposals to clear some of Sherwoods forest and grow com, but obtaining this additional economic output will have an environmental cost from reducing the number of trees. Table 12.11 shows possible combinations of economic output and environmental protection. Sketch a graph of a production possibility frontier with environmental quality on the horizontal axis, measured by the number of trees, and the quantity of economic output, measured in corn, on the vertical axis. Which choices display productive efficiency? How can you tell? Which choices show allocative efficiency? How can you tell? In the choice between T and R, decide which one is better. Why? In the choice between T and S, can you say which one is better, and why? If you had to guess, which choice would you think is more likely to represent a command-and-control environmental policy and which choice is more likely to represent a market-oriented environmental policy, choice Q or S? Why?
A city currently emits 15 million gallons (MG) of raw sewage into a lake that is beside the city. Table 12.13 shows the total costs (TC) in thousands of dollars of cleaning up the sewage to different levels, together with the total benefits (TB) of doing so. Benefits include environmental, recreational, health, and industrial benefits. Using the information in Table 12.13 calculate the marginal costs and marginal benefits of reducing sewage emissions for this City. What is the optimal level of sewage for this city? How can you tell?
How can high-income countries benefit from covering much of the cost of reducing pollution created by low-income countries?
Consider the case of global environmental problems that spill across international borders as a prisoners dilemma of the sort studied in Monopolistic Competition and Oligopoly. Say that there are two countries, A and B. Each country can cheese whether to protect the environment, at a cost of 10, or not to protect it, at a cost of zero. If one country decides to protect the environment, there is a benefit of 16, but the benefit is divided equally between the two countries. If both countries decide to protect the environment, there is a benefit of 32, which is divided equally between the two centuries. In Table 12.10, fill in the costs, benefits, and total payoffs to the countries of the following decisions. Explain why, without some international agreement, they are likely to end up with neither country acting to protect the environment.
Assume that the marginal private costs of a film producing fuel-efficient can; is greater than the marginal social costs. Assume that the marginal private benefits of a firm producing fuel efficient cars are the same as the marginal social benefits. Discuss one wags.r that the government cans ï¬‚y to increase production and sales of fuel efficient cars to the socially desirable amount. Hint: the government is flying to affect production through costs, net benefits.
What are better-defined property rights and what incentive do they provide to account for external costs?
As the extent of environmental protection expands, would you expect the marginal benefits of environmental protection to rise or fall? Why or why not?