Suppose that the MD = 5E and with its current techonlogy, the firm's MS is given by MS = 200 - 5E. Determine the emissions tax that would achieve the socially optimal level of emissions.
Q: Ronald runs a small pottery firm. He hires one helper at $12,000 per year, pays annual rent of…
A: Economic profit is cash procured subsequent to considering express and understood costs. Accounting…
Q: n 2014, 15 hot dogs are produced at a price of $2 each, and 20 burgers at a price of $7 each. In…
A: Given in formations: Price of hot dog in 2014 = $2 Price of hot dog in 2015 = $4 Price of burger in…
Q: Suppose that the true data-generating process includes an intercept along with the variables X2 and…
A: Data generating process is a kind of process which is generated through stochastic process in…
Q: contribution margin per unit. b. deciding whether fixed costs would change as a result of the…
A: When several products are sold by a company, the management will be interested in finding out…
Q: The demand for is more elastic than the demand for Select one: O a. all soft beverages; lemonade O…
A: Elasticity in economics basically refers to the measure of the overall responsiveness of one…
Q: R4
A: Export can be defined as the total amount of commodities and services sold outside the country.…
Q: Ahlam grows carrots in her garden for home consumption. This activity is: a. Excluded from GDP…
A: Gross domestic product (GDP) measures the market value of final goods and services produced by an…
Q: A child’s grandparents have opened a ₱586702 savings account for the child on the day of her birth.…
A: It is given in the question that, Principal amount(P)=5,86,702. Interest rate(i)=1.7% or 0.017…
Q: The graph below depicts an economy where an increase in aggregate demand has caused inflation.…
A: A government generally regulates the market through fiscal measures, the measures can be of two…
Q: Critically assess the view that the process of globalization has brought advances in development to…
A: Meaning of Macroeconomics: The term macroeconomics refers to the situation of economic and…
Q: Janice wishes to safeguard her business at all given times. She has heard from a friend that there…
A: Contract is a kind of an agreement for any service, company or things which is enforced by law. In…
Q: Please judge whether the following function has the characteristics of CRS, IRS or DRS. 1. F(K,…
A: Production Function The link between the number of productive inputs (such as labor and capital)…
Q: Distinguish between a rate and a price.
A: Economics: It refers to the goods and services that have been produced in an economy. The economy…
Q: What are the factors that shift the output demand curve? (Select all that apply.) A. Real interest…
A: In a market, there are various factors that influence the market demand and market supply due to…
Q: Suppose each of the seven dwarfs buys four mugs of ginger ale per week from Snow White's cafe, when…
A: Quantity demanded refers to the amount of a good at a particular price then consumers are willing…
Q: Find the monthly house payment necessary to amortize the following loan. In order to purchase a…
A: Given informtaion: A family borrows $70,000 at 12% for 15 years in order to purchase a home. We…
Q: One of these four answers best represents the condition that generates a natural monopoly. Which…
A: At the marketplace, natural monopoly refers to the situation when a firm is gaining market…
Q: a) The following information shows quantity demanded when prices of bread was changed from P3 to P4:…
A: Price elasticity of demand is the ratio of the change in price to the change in the quantity of a…
Q: Price P₂ Pe A P₂-1x H B E F J CD 010 G K Supply + tax Q₂ Qc Consumer surplus before the tax Based on…
A: NOTE: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…
Q: 6. A-One bakery in Brampton sells 350 fruit cakes slices each month for $3.25 each. They are looking…
A: Decrease the price by 0.1 will increases the demand by 80 . This result will help to find out the…
Q: Assume you have the following information about an economy: Labor Force of an Economy Population…
A: Unemployment is the rate of population who willing to work also have skills but did not have work ,…
Q: Consider a utility function u(x1, x₂) = 4x₁ + 3x₂. 1. What is the optimal bundle with Px₁, P₂, and…
A: Given information: u = 4x1 + 3x2 -----> Utility function. The utility function is linear, it…
Q: a. What are the main factors that cause market failure? b. Give examples of different types of…
A: Market failure refers to a situation under which if a individual acts for his own self interest in…
Q: A perfectly competitive firm is expected to make a $0 economic profit in the long-run. What type(s)…
A:
Q: Consider the model of investment under asymmetric information D=(1 + r)(1- W). Suppose that…
A:
Q: There are two workers. Each worker's demand for a public good is P= 20 - Q. The marginal cost of…
A: A "socially optimum solution" is what economists refer to when they talk about "the ideal allocation…
Q: b) Based on the above article, the unemployment that occurs is due to covid-19. Explain the type of…
A: Disclaimer :- since you asked multipart question we are solving only 1st 3 subparts as per…
Q: b) The following table shows a country's national income data with a population of 50million…
A:
Q: Bureau of Economic Analysis Table 1.1.6. Real Gross Domestic Product, Chained Dollars [Billions of…
A: Gross Domestic Product Gross Domestic Product refers to the money value of all the commodities and…
Q: Consider the Augmented Solow model. Derive the golden rule level condition and show it over the…
A: The Solow Model of economic growth or the neo classical model of growth This model is also known as…
Q: Refer to the accompanying figure. LRAS Inflation a B 0. Y' Output SRAS SRAS AD AD An economy is…
A: when the anti-inflationary policy is enacted, the economy will be in short-run equilibrium at…
Q: In 2019, there were approximately 163 million people in the labor force and the unemployment rate w…
A: The labor force is the amount of employed and jobless people. The workforce/labor force…
Q: Let’s see just how much high expected inflation can hurt incentives to save for the long run. Let’s…
A: The difference between the real interest rate and the nominal interest rate is that the real…
Q: In the long run, according to the quantity theory of money, if the money supply doubles, what…
A:
Q: A small monopoly manufacturer of widgets has a constant marginal cost of $20. The demand for this…
A:
Q: a) The following information shows quantity demanded when prices of bread was changed from P3 to P4:…
A: Price elasticity of demand is the ratio of the change in price to the change in the quantity of a…
Q: Q.1 Player 1 and player 2 choose their strategies S₁ and 52 simultaneously where s₁ € {X,Y} and s₂ E…
A: Given information Player 1 knows the value of θ= (2,-2) Player 2 θ =-2 with probability 0.8 and θ=2…
Q: 10 Read the following paragraph and answer the question that follows. A number of factors…
A: When the Gross Domestic Product (GDP) fluctuates around its long-term natural growth rate, it is…
Q: 2
A: Export subsidy, as the name suggests is a type of subsidy for producers in the domestic market to…
Q: What is production management an important activity?
A: Meaning of Microeconomics: The term microeconomics refers to that situation under which the…
Q: How is the demand for pizza different from the demand for pizza cooks?
A: Demand for a commodity refers to the amount of commodity that a consumer is willing to purchase, is…
Q: *37. Exhibit: Steady-State Capital-Labor Ratio -sf (3) k₁ ko k₂ kg k In this graph, the steady-state…
A: The Solow Model of economic growth or the neo classical model of growth This model is also known as…
Q: The optimal level of output can be achieved by levying a tax on a company producing a negative…
A: Negative externalities are negative side effects of economic activities that are not captured by the…
Q: 8. Cost-benefit & Cost-effectiveness analysis Given the information below, answer the questions that…
A: Dear learner you have posted a question with multiple sub parts, as per our policy we have solved…
Q: Assume that you obtain a quote for a one-year forward rate on the Argentinian peso. Assume that…
A: Forward rate: It refers to the transactions that are settled on the basis of price. It is basically…
Q: QUESTION 3 Suppose that the MD=5E and with its current technology, the firm's MS is given by MS₂ =…
A: Given information: MD = 5E MS = 200 - 5E
Q: If nominal GDP is $10 trillion and real GDP is $8 trillion, the GDP deflator is: a. 80, and this…
A: The GDP price deflator estimates the progressions in prices for every one of the goods and services…
Q: 6. The Role of Government: Tax and plastic bags A. In the diagram, identify the lines that express…
A: c) The impact of tax depends on the elasticities of demand and supply curves i.e. the responsiveness…
Q: Determine P & F for the diagram below: P = ? immä 3 4 5 1 month A=500 7 six months A' $1500 Α' F For…
A: Given For the first 7 months, the monthly payment is A= 500 and the interest rate is 12% per year…
Q: Calculate Total Potential Deposit Creation given the following information. rrr = .09 Total…
A: Given; Required reserve ratio; rrr=0.09 Total Deposit= $6300 Total Reserves= $4200
Suppose that the MD = 5E and with its current techonlogy, the firm's MS is given by MS = 200 - 5E.
Determine the emissions tax that would achieve the socially optimal level of emissions.
Step by step
Solved in 2 steps
- A polluting firm’s marginal abatement cost is MACi = 50 – 0.25ei . If a regulator imposes a per-unit emissions tax of t = 10, what level of emissions does the firm choose under the tax? A polluting firm’s marginal abatement cost is MACi = 50 – 0.25ei . If a regulator imposes a per-unit emissions tax of t = 10, how many units did the firm abate relative to the unregulated environment?Consider two firms with the following marginal abatement costs (MAC) as a function of emissions (E): MAC1 = 10 - 2E1 MAC2 = 4 - E2 If both firms cut their emissions to zero, then total abatement costs (TAC) for both firms is ____. THE ANSWER IS NOT 17Attached is the marginal abatement costs of three firms, related to the quantity of emissions. Each firm is now emitting 10 tons per week, so total emissions are 30 tons per week. Suppose we wish to reduce emissions by 50 percent, to 15 tons per week. Compare the total cost of doing this: (a) with an equi-proportionate decrease in emissions (b) with a decrease that meets the equi-marginal principle.
- Consider two firms with the following marginal abatement costs (MAC) as a function of emissions (E): MAC1 = 30 - 6E1 MAC2 = 20 - 10E2. If both firms cut their emissions to zero, then total abatement costs (TAC) for the two firms is ____. Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.Consider a competitive market in which the MPB = 180 – 2q and the MSC = q. In this market, however, there is a positive consumption externality of $60 per unit consumed. What is the efficient level of output in this market? A. 60 B. 80 C. 70 D. 90 E. 100Suppose that a firm's marginal abatement cost function with existing technologies is MAC = 12 - E. If the firm adopts new pollution abatement technologies, then its marginal abatement cost function will become MAC = 6 - 0.5E. With an emissions tax of $4, the benefits of adopting the new technologies equal $____. Please round your final answer to two decimal places if necessary. THE ANSWER IS NOT 16 Maybe 4?
- Suppose there are three polluting sources with MAC1 = 100 - 4E, MAC2 = 80 - 2E and MAC3 = 60 - 0.5E. When MAC equals $10, the aggregate level of abatement for these sources would be _______.Suppose that a firm's marginal abatement cost function with existing technologies is MAC = 18 - 2E. If the firm adopts new pollution abatement technologies, then its marginal abatement cost function will become MAC = 9 - E. With an emissions tax of $4, the benefits of adopting the new technologies are $____.Consider two firms with the following marginal abatement costs (MAC) as a function of emissions (E): MAC_1 = 12 - 3E_1 MAC_2 = 8 - 2E_2. If both firms cut their emissions to zero, total abatement costs (TAC) for the two firms is ____.
- Suppose that a firm's marginal abatement cost function with existing technologies is MAC = 8 - E. If the firm adopts new pollution abatement technologies, then its marginal abatement cost function will become MAC = 4 - 0.5E. With an emissions tax of $2, the benefits of adopting the new technologies equal $____.Suppose that a firm's marginal abatement cost function with existing technologies is MAC = 18 - 2E. If the firm adopts new pollution abatement technologies, then its marginal abatement cost function will become MAC = 9 - E. With an emissions tax of $4, the benefits of adopting the new technologies are $____. THE ANSWER IS NOT 5.Suppose we are happy with the current level of total emissions across two firms but, the current marginal abatement cost for firm 1 is $200 and the current marginal abatement cost for firm 2 is $250. Have we divided total emissions in the best way? Why or why not?