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a. Under a strict command-and-control framework, suppose abatement standards are set equally across polluters. Assume the total abatement target is 30 units. Show the cost implications using three graphs, each of a different polluter with a unique MAC curve drawn to depict a low-cost abater, a moderate-cost abater, and a high-cost abater. On each graph, identify the abatement level corresponding to a uniform standards approach, and show the level of MAC at that point and the area corresponding to TAC.
b. Now, refer directly to your model, and summarize what would happen qualitatively to the abatement levels of each firm if the equimarginal principle of optimality were used. Explain intuitively why this method would be cost-effective.
q.government budget constrainta write the governments lsquolifetime budget constraint assuming its lifetime is just
What is the linear relationship between Fahrenheit and Celsius? Since the relationship is linear, you only need the following two points to calculate the relationship.
British Airways Plc plans to set aside investment funds now for replacing 34 of the airline's aging long-haul fleet of Boeing 747s and 767s, which will be delivered 6 years from now. How much will the company need to have in its investment funded now..
“If the assumptions of the median voter model hold, then using majority voting to determine the amount of a public good purchased by a city will lead to either an efficient level of the public good being provided or an under-provision of the public g..
Let U denote the value of water released in t = 0 plus the discounted expected value of water in the reservoir in t = 1. What is the expression for U ?
How should the federal reserve react if they desire to bring inflation down to 3% Wren will they achieve that goal? (Hint: maintain plenty of decimal places.)
Quantity of pizzas demanded soared following week from 1 pie an hour to 100 pies an hour. What was price elasticity of demand for Domino's pizza.
A large city in the mid-West needs to acquire a street-cleaning machine to keep its roads looking nice year round. A used cleaning vehicle will cost $85,000 and have a $20,000 market (salvage) value at the end of its five-year life. Find the breakev..
Madison has 5 times the marginal utility of consumption as Seth. If the government wants to achieve maximum societal happiness, should it transfer wealth from Seth to Madison?
Suppose the MWTP in periods 1 (now) and 2 (one year from now) is given by P = 8-0.4q. Marginal extraction cost = $2. r = 20%. The available supply is 20 units. Calculate the allocation of outputs across the two periods that maximizes the present valu..
How important is the role of culture in management? How can we best cope with cultural differences in management practices? From you own experience, how does your company deal with cultural differences in the work place?
If interest rates differ between two countries, it is an indication that the financial markets are not in equilibrium, and that investment flows should be taking place between the two countries. Agree? Disagree? Explain.
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