Question 25 One of the potential problems, among others, by implementing marketable pollution permits has been found to be rising cost of enforcement creation of "hot spot for the polluters cheating by the polluters increase of bureaucracy
Q: Suppose you own an outdoor recreation company and you want to purchase all-terrain vehicles (ATVS)…
A: The budget line, also known as the budget constraint, displays all possible combinations of two…
Q: Which of the following explains why the owners of used cars tend not to sell them at a low price…
A: In this review, customer suspicion toward new items is characterized as a shopper's propensity to…
Q: Draw the Lorenz curve and calculate the Gini coefficient for two countries based on the following…
A: In economics, the Gini coefficient, additionally the Gini list and the Gini proportion, is a…
Q: Lars has asserted that he prefers bacon to sausage, sausage to chips and chips to bacon. Based on…
A: A specialist has complete preference s in the event that she can think about any two articles. A…
Q: Your enterprising uncle opens a sandwich shop that employs 7 people. The employees are paid $6 per…
A: In economics and in particular neoclassical economics, the marginal product or marginal physical…
Q: The information below sets out the estimated market shares for the cellular phone manufacturing…
A: Herfindahl- Hirschman index is used to measure competition in the market.
Q: keep a Renewable Term policy active, the insured must do which of the following? A. Submit a renewal…
A: Renewalable term insurance can offer monetary insurances long before a significant individual…
Q: A firm has the production function F(L, K) = 2 min{L, 10K7 . The current input level is (L, K) =…
A: (Q) A firm has the production function F(L, K) = 2 min{L, 10K} . The current input level is (L, K) =…
Q: In 1950, Congress raised the federal minimum wage to seventy-five cents ($0.75) per hour. The CPI in…
A: Consumer price index is one of the measures to calculate inflation.
Q: and quantities are measured in hundreds of moviegoers. Modern Multiplex has a per-customer cost of…
A: In a problem of game theory, all the players are assumed to be rational. The actions of each of the…
Q: Suggest solutions to the limitations of the Efficiency Wage Model.
A: The idea of the efficiency wage theory is that increasing wages can lead to increased labour…
Q: What is the annual interest rate if a $15,000 investment receives $365 in 4 months?
A: Annual interest rate is the interest rate which is received on an investment annually.
Q: Please define in your own words the following terms: contractual savings institution, hedge fund,…
A: Contractual savings institutions: The contractual savings institutions are those that generally keep…
Q: Consider a company whose long run total cost function is TC= 200q -20q^2 +q^3 and whose marginal…
A: MC cuts intersect ATC at its minimum point. So, at MC = ATC we get the quantity level at which ATC…
Q: If the Fed's recent contractionary monetary policy causing rise in interest rates, what is the most…
A: The velocity of money measures how many times a unit of currency is exchanged in the economy. The…
Q: e. Generalize your result using parameters a and c: Demand and cost are: P = a - Q1 - Q2 TC1 = cQ1…
A: Introduction We have given a cournot duopoly market. Here are two firms in the market. Both will…
Q: In class, we use the dollar-euro exchange rate, Es/e to graph foreign exchange equilibrium. Let's…
A: Given information Expected future exchange rate Ee ¥/$=120 R ¥=0.001--- Rate of return on Yen…
Q: Connor produces and sells Thirium (a type of mineral). When Connor produces 10 containers of…
A: Marginal cost refers to additional cost incurred due to one more unit of output of produced.
Q: The cost of making transactions using decentralized cryptocurrencies is currently much higher than…
A: When talking about decentralized cryptocurrencies, it can be said that these are the digital…
Q: Question 35 Classical Growth theory predicts that O aggregate income always returns to the…
A: Question 35) "Classical growth theory's fundamental principle is that the economy is…
Q: in these large firms. Some economists observe that higher profit rates in large oligopolies stem…
A: Circular flow of income consists two agents household and firms and two markets one is resource…
Q: A country observes that its currency is gaining nominal value in the foreign exchange market. All…
A: Here, it is given that the currency of a country appreciates in the foreign exchange market as the…
Q: QUESTION 2 Which of the following is NOT a potential explanation for involuntary unemployment?…
A: In an economy, involuntary unemployment refers to the situation when an individual actually wants to…
Q: Which answer about the amount of the group life death benefit that the beneficiary must disclose for…
A: The death benefit received by the beneficiary of a life insurance policy is not taxable income, and…
Q: Macroeconomists would suggest that an economy experiencing high unemployment should adopt policies…
A: Macroeconomists deals with national issues like unemployment, GDP and Inflation
Q: H applied for a individual major medical policy. When H filed a claim within the first year of…
A: In the insurance market, there are different forms of insurances, based on different requirements of…
Q: Consider the following data on the X-product: a) What was the growth rate of nominal GDP between…
A: Year Price of X Q of X Nominal GDP GDP Deflator (Base year 2005) 2010 11.50 105000 125 2011…
Q: An automobile tire manufacturer collected the data in the table relating tire pressure x (in pounds…
A: Answer: Given, x Mileage f(x) 28 43 44 30 51 51.9 32 56 55.1 34 50 53.5 36 47 47.3…
Q: please show all calculations Draw a budget line with good X on the x-axis and Good Y on the Y axis.…
A: The income effect happens when a price change affects a consumer's real income, whereas the…
Q: Draw a budget line with good X on the x-axis and Good Y on the Y axis. Graphically illustrate the…
A: Price effect is basically a term that is used to describe the change in the demand preference of a…
Q: Two oligopolistic firms have to decide on the pricing strategy. Each can either choose either a high…
A: Dominant strategy is a strategy that gives maximum payoff to a player irrespective of what other…
Q: Consider the Scenario given below and attempt the questions that follow: COVID-19 Lockdown Price…
A: The covid-19 outbreak has been one of the most unfortunate events in human history. Such occurrences…
Q: 2. The Lorenz curve of a particular society is given by L(x) = Ax? + Bx. Suppose that the poorest…
A: A graphical depiction of the distribution of wealth or income across a population is known as a…
Q: Suggest solutions to the limitations of the Efficiency Wage Model
A: The efficiency wage theory proposes that raising wages will enhance labour productivity because…
Q: Someone who wants to buy a car can buy either a used car or a new car. According to the supply and…
A: Supply and demand are influenced by the various factors like Supply of goods is influenced by one…
Q: Problem 8. Compute the future worth in year 10 at i= 12% per year for the cash flow shown below.
A: Given cashflows for 10 years Future worth of each cashflow = cashflow * (1 + rate)^time total future…
Q: Q.16 Which of the following can decrease money supply? (i) Open Market Sale (ii) Open Market…
A: The central bank can regulate the money by using various tools. Monetary Policy includes all the…
Q: Spending funds obtained by borrowing instead of taxation. A. Merit Good B. Zero based Budgeting…
A: A fund is a collection of funds put aside for a certain purpose. A fund's money is often invested…
Q: A producer of coffee mugs notes that the price of mugs has risen over each of the past three years.…
A: Supply is defined as to the amount of a commodity that manufacturers are willing to make and sell in…
Q: Given the demand and supply function for a product as Q = 1500 - 3P (Demand) Q = 1100 + 2P…
A: Equilibrium is the oont where price and quantity is determined through market mechanism and…
Q: 10. The opportunity cost of making cupcakes is lowest at which point? a A 6. 8 d. A and C 11. The…
A: ANSWER IS GIVEN BELOW
Q: Suggest solutions to the four major weaknesses of the Search Theory of Unemployment.
A: In the mentioned question we have been asked about the major weakness of the search theory if…
Q: Explain why demand policies can only reduce unemployment below the natural rate in the short-run.
A:
Q: When the price of sugar was "low," consumers in the United States spent a total of $3 billion…
A: Elasticity of demand measures the responsiveness of quantity demanded with respect to change in…
Q: For each of the following monetary policy tools: A. The BSP buys securities in the open market. B.…
A: Dear student, you have asked multiple sub-part questions in a single post.In such a case, I will be…
Q: Suppose that the demand and supply functions for a good are given as follows: Demand: 0-1080-7P…
A: Demand equation: Q = 1080 - 7P => P = (1080 - Q)/7 -----------> eq(1) --------------------…
Q: Below are some data from the productions of milk and honey. i) Compute nominal GDP, real GDP, and…
A: The total value of the goods and services generated in an economy over a predetermined amount of…
Q: The country's current account in its balance of payments shows A. the difference between the…
A: Balance of payment keeps the record of economic transactions of an economy with the rest of the…
Q: Vith reference to the graph, explain the welfare implications of a monopoly versus firms in a…
A: When comparing monopoly and perfectly competitive market, it can be said that both the markets give…
Answer and explain your choices. My last attempt. I will rate with multiple votes.
Step by step
Solved in 2 steps
- 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?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?How can high-income countries benefit from covering much of the cost of reducing pollution created by low-income countries?
- Consider a uniformly mixed pollutant. If all of the polluters have different individual marginal abatement cost functions, then it wll not be possible to design a cost effective policy. Select one: O a. True O b. FalseUnder emission standards, the amount of compliance cost faced by a polluter is ___________________________? The total abatement costs Zero The sum of the compensation and abatement costs The compensation based on damages caused by the polluter8. (Environmental Protection) Four federal laws and subse- quent amendments underpin U.S. environmental protec- tion. Identify these laws.
- ACME Industries produces steel near a river that nearby residents liked to swim. A by-product of steel produced by ACME Industries is toxic sludge that pollutes the river. Demand for steel by consumers in tonnes is given by QD = 90 - 5p. The Private Margiinal Cost per tonne of steel produced ACME Industries is given by the supply curve QS = 25p. Each tonne of steel produced creates external marginal damage on Wimmera of $1.20 due to decreased water quality. The government is considering imposing a tax on the market to correct the externality. 1. Before the imposition of a corrective tax, the equilibrium price is: 2. Before the imposition of a corrective tax, the equilibrium quality is: 3. To correct the externality, the government should tax per tonne of steel produced equal to:The government allows sulphur dioxide emissions of 4 parts per billion and has a tradable permits program. The 2 firms in the market pollute at a rate of 5 parts per billion and 6 parts per billion respectively. The 2 firms have the following costs to reduce emissions. The least expensive way to reach the government’s mandate is: Reduction of Sulphur Dioxide Cost - Firm 1 Cost - Firm 2 By 1 part per billion $200,000/year $80,000/year By 2 parts per billion $420,000/year $200,000/year By 3 parts per billion $700,000/year $340,000/year By 4 parts per billion $1,200,000/year $650,000/year Group of answer choices $400,000. $200,000. $340,000.8. Marketable permits are a market solution to pollution abatement which work best whena. all firms have the same valuation for pollution.b. the location of pollution matters.c. the government knows the right quantity of pollution abatement.d. some fi rms have already invested heavily in abatement equipment while others have done nothing.
- Plants A and B emit 12 tons and 6 tons of carbon dioxide (CO2), respectively. MAC(marginal abatement costs) for a = 12 - Ea, MACb=12-2Eb MD(marginal damage) = 1/3*E (E indicates CO2 emission) Suppose that the emission trading system is introduced and the right to emit 7 tons is given to power plant A and the right to emit 5 tons is given to power plant B. In order for emission permits to be traded, the price of one unit of emission permits must be at least a certain amount (minimum price) and conversely, how much must be less than a maximum (maximum price), that is, explain the fluctuation range of the emission permit price.The marginal benefit of being able to emit a ton of sulphur dioxide emissions for twofirms are given by:MBX = 320 – ( Ex / 3 )MBY = 500 – ( Ey / 2 )Note that these marginal benefit figures can be interpreted as marginal cost of abatingemission down to levels Ex and Ey.Government regulators want to reduce total sulfur dioxide emissions to a total of 1200tons.a) If the government imposes the same standard of 600 tons maximum emissions onboth firms what would be the total cost of abatement (calculated as the aggregatedmarginal benefits forgone)?b) If the government distributed 600 tradable pollution permits to each firm whatwould be the final allocation of these permits after the firms trade them? Whatwould be the total cost of abatement in this latter case?It is discovered that production of painclear damages groundwater quality – this affects just one party: Greenview Nature Park (a park run by the local council which people can access, for free, for recreation). The value of the damage caused is £48 per litre of paint produced – so the pollution damage caused when output is 1 litre=£48, the 2 nd litre causes another £48 of damage, so pollution damage caused when output is 2 litres=£96. This damage happens and is the same whenever XY produces, whatever the level of output (same if it produces 1 litre of or 1 000 000 litres of painclear - each additional litre imposes an additional £48 of pollution costs). The drug has no side effects on consumers. (the clarifying information in red was added on 21/12/23) 1.Create and explain a new diagram which shows relevant costs, price and levels of output if XY produced the optimal quantity of painclear from a societal perspective. 2. Assume XY and Greenview can negotiate. Create and explain 2 new…