When a new park is constructed in the town of Mountainview there is an increase in both demand and supply of accommodations for tourists. The area shaded in red below would represent the benefit to society of the park in a benefit cost analysis. P Select one: O a. True O b. False D₁ D₂ S₁ S₂ QAccommodations

When a new park is constructed in the town of Mountainview there is an increase in both demand and supply of accommodations for tourists. The area shaded in red below would represent the benefit to society of the park in a benefit cost analysis. P Select one: O a. True O b. False D₁ D₂ S₁ S₂ QAccommodations

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 9SCQ: The rows in Table 12.7 show three market-oriented tools for reducing pollution. The columns of the...

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The rows in Table 12.7 show three market-oriented tools for reducing pollution. The columns of the table show three complaints about command-and-control regulation. Fill in the table by stating briefly how each market-oriented tool addresses each of the three concerns.
The marginal benefit of being able to emit a ton of sulphur dioxide emissions for twofirms are given by:MB_X = 320 – ( Ex / 3 )MB_Y = 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?
With liability laws , a polluter will not have any compensation cost if they do not cause any damage . Select one : O a . True O b . False
. Profit The revenue from sales of x units of a productis given by R(x) = 200x - 0.01x2, and the cost ofproducing and selling the product can be describedby C(x) = 38x + 0.01x2 + 16,000.a. Producing and selling how many units will givemaximum profit?b. What is the maximum possible profit from producing and selling the product?
I live next door to an insomniac who plays jazz music every weekendlate at night. It is loud enough to keep me awake, but not loudenough to exceed the legal limit on noise pollution. Using Coasianbargaining I couldSelect one:a. Invest in soundproofing out of my own pocketb. Pay my neighbour not to play music at such timesc. Ask my neighbour to pay me to stay elsewhere at theweekendsd. Seek legal redress Please tell me which awnser is correct for this question thank you
b) Discuss and explain the concept of positive return toscale showing it relationship with the quantity ofproduction.
How market equilibrium is found with Pollution Abatement Subsidy? Also draw graph and interpret it.
A company is considering building a bridge across ariver. The bridge would cost $2 million to build andnothing to maintain. The following table shows thecompany’s anticipated demand over the lifetime ofthe bridge:Price per CrossingNumber of Crossings,in Thousands$8 07 1006 2005 3004 4003 5002 6001 7000 800a. If the company were to build the bridge, whatwould be its profit-maximizing price? Would thatlevel of output be efficient? Why or why not?b. If the company is interested in maximizing profit,should it build the bridge? What would be itsprofit or loss?c. If the government were to build the bridge, whatprice should it charge?d. Should the government build the bridge?Explain.
Provide me two points for agree and two points for disagree (with elebaraotion and example)
PDemand QDemand PSupply QSupply $10 0 $1 2 $9 3 $2 4 $8 6 $3 6 $7 9 $4 8 $6 12 $5 10 $5 15 $6 12 $4 18 $7 14 If the Government creates a quota of 6 units to reduce the consumption of the dangerous product, what will the price of the good be in the marketplace? How much deadweight loss is there? How much of the deadweight loss came from the consumers?
2. Individual Problems 14-2 A local Pilates studio recently began offering a monthly subscription service for its patrons. Suppose a particular patron at this studio has the following willingness-to-pay schedule, per session. Session Willingness to Pay 1st $77 2nd $66 3rd $55 4th $44 5th $33 6th $22 Suppose this consumer would not demand any more sessions, even for free. Also assume that the marginal cost to the studio, per session, is constant at $11. At a price of $71.50 per session, the number of sessions demanded by this consumer would be . At this price and quantity, consumer surplus is $ and producer surplus is $ . Suppose the studio has devised a new pricing scheme for consumers who demand more than 1 session. This pricing scheme is a subscription service, whereby consumers can pay a flat fee of $237.60 and can have up to 6 sessions total. Using this subscription pricing model, this consumer would demand sessions. Under this scenario, consumer surplus is $ and producer…
If a) the government uses a tradable permits program for pollution emissions, b) polluting firms are heterogeneous in terms of their marginal abatement costs (MACs), and c) each firm is initially allocated an equal amount of permits, it must be the case that: Select one: a. Firms with higher marginal abatement costs will pay firms with lower marginal abatement costs to abate more. b. Firms with lower marginal abatement costs will end up with more permits than firms with higher marginal abatement costs after trading. c. All firms will end up abating the same amount of emissions. d. All of the above are true. e. All of the above are false.