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Consider the cap-and-trade system and the market for tradable pollution permits and answer all parts of the question.
a. If all polluters adopt a more efficient abatement technology, how will it affect the permit price? Will the ambient environmental quality improve as a result of this new abatement technology being used? Explain and illustrate your answer graphically.
b. If the number of polluters increases, e.g., new firms join the polluting industry, how will it affect the permit price? Will the ambient environmental quality deteriorate? Explain and illustrate your answer graphically
If the intended aim of the price ceiling set in the graph shown was a net increase in the well being of consumers, then positive analysis would conclude:
Illustrate what factors seem to be most important in determining development also why
What output market with the appropriate starting position and show what effect the contractionary policy would have in the output market.
Illustrate this on two graphs with the AS/AD curves: show one AS/AD diagram with a soft monetary policy, and next to it another AS/AD diagram we an aggressive monetary policy. Show pi_1 and Y_1 as well as the long run values of inflation and short-ru..
Why does a union electrician earn less than a non-union electrician? Why does a white male earn more than a white female with the same level of education? Why does a movie actress like Angelina Jolie earn more than a movie actress from the 1940s?
Use the supply and demand analysis, discuss the impact of worker shortage, which is nowadays widely observed in many Chinese cities, on prices and consumers’ living costs. Try to consider the effect of worker shortage on firm production and consumer ..
Suppose the demand and supply functions of a good are specified as follows: QD= 600-2p and QS= -200 + 3P. Equilibrium price and quantity must be:
Gatekeeper models of MCOs require patients to see a primary care doctor before going to see a specialist. What two key economic principles would be involved in a successful gatekeeper program?
Use the calculator to answer the question below. With a new government tax of $20 per carton, illusrtae what is the equilibrium quantity of cigarette cartons.
What is profit-maximizing level of hiring for firm. How is it determined. What is equilibrium quantity of labour hired in market. Does it make sense given number of firms.
Toward the end of the recent recession, the economy was characterized by a ‘‘jobless recovery’’— output and hours worked were rising, but employment was not. Explain what may have been happening.
For what proportion of these corporations the rate of return negative? C. For what proportion of these corporation was the rate of return between 5% and 15%?
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