Describe the externality that arises from plastic bags

Assignment Help Business Economics
Reference no: EM13936302

Use the following news clip to work Problems 6 to 8. Bag Revolution Thin plastic shopping bags aren't biodegradable and often end up in the ocean or in trees. Americans use about 110 billion bags a year. In 2007, San Francisco required all retailers with revenue over $2 million to offer only compostable or reusable bags. In all, 28 U.S. cities have proposed laws restricting the use of plastic bags.

Source: Fortune, May 12, 2008.

6. a. Describe the externality that arises from plastic bags.

b. Draw a graph to illustrate how plastic bags  create deadweight loss.

7. a. With 70 percent of all plastic bags coming from grocery, drug and convenience stores, inJuly 2008, Seattle imposed a tax of 20¢ per bag from these outlets. Explain the effects of Seattle's policy on the use of plastic bags.

b. Draw a graph to illustrate Seattle's policy and show the change in the deadweight loss that arises from this policy.

8. In 2010, the Governor of California supported a move to make California the first state in the nation to ban plastic shopping bags. He said that the bill "will be a great victory for our environment." Explain why a complete ban on plastic bags might be inefficient.

Reference no: EM13936302

Questions Cloud

Private individuals, businesses, politicians : You are required to research and discuss how the "Right to be forgotten" ruling (C131/12) may affect the quality of information shared on the Internet. Build and publish a website to illustrate and draw out your findings.
Evaluate the maturity of the project management culture : An organization needs to have project management built into its culture to be effective. Evaluate the maturity of the project management culture in your organization and describe improvements that can be implemented based on your text readings
Create an information pack for prospective new clients : Create an information pack for prospective new clients that outlines the principles of strategic marketing. Your pack must cover the following topics:
Technical requirements develop a website : You are required to research and discusshow the "Right to be forgotten" ruling (C131/12) may affect the quality of information shared on the Internet. Build and publisha website to illustrate and draw out your findings.
Describe the externality that arises from plastic bags : Describe the externality that arises from plastic bags. Draw a graph to illustrate how plastic bags  create deadweight loss. With 70 percent of all plastic bags coming from grocery, drug and convenience stores, inJuly 2008, Seattle imposed a tax of 2..
Identifying issues relating to information systems : Demonstrate problem-solving skills by identifying and resolving issues relating to information systems and their components, and proficiently utilise different types of information systems software
Consider the implications for private individuals : You are required to research and discuss how the "Right to be forgotten" ruling (C131/12) may affect the quality of information shared on the Internet. Build and publish a website to illustrate and draw out your findings.
What other factor is affected by increased economic growth : What other factor is likely to be affected by increased economic growth and could place upward pressure on the value of the local currency?
What is price ceiling and what effect does it have on market : What is a price ceiling and what effect does it have on the market? List and explain several positive and or negative consequences of this action. What would happen to producer and consumer surplus?

Reviews

Write a Review

Business Economics Questions & Answers

  What percent of the total complaints can be attributed

What percent of the total complaints can be attributed to the most prevalent complaint?

  Expect supply side economic growth-business cycle

During the business cycle, we can expect supply side economic growth:

  Elucidate the multiplier concept as it applies in this case

Elucidate the multiplier concept as it applies in this case. Illustrate what are the qualifications and limitations of the multiplier model.

  Constant marginal cost and constant average total cost

De Beers is a monopolist which supplies diamonds with constant marginal cost and constant average total cost. Draw the average cost, marginal cost, demand and marginal revenue curves. Show the price charged by De Beers without price discrimination. U..

  Using the theory of symbolic interactions

Using the theory of symbolic interactions, how do sociologists explain the uniqueness of each individual human being?

  Assume you are the plant manager for crossroads sign company

Assume you are the plant manager for Crossroads Sign Company, which produces road signs in a market that approximates perfect competition. Due to a slow economy,

  Explain how does the income approach to measuring gdp

Explain how does the income approach to measuring GDP differ from the expenditure approach. Explain the meaning of value added and its importance in the income approach.

  Explain what you think of an alternative way to restructure

Explain what you think of an alternative way to restructure the compensation of EFT's sales force that could potentially enhance profits.

  Calculate its minimum efficient scale of production

A firm produces both crayons and pencils in constant proportions (1/3 and 2/3 respectively). Its costs are C(q1;q2)=1000+10q1+5q2+9q1q2, where q1 is the output of crayons and q2 the output of pencils. Calculate its minimum efficient scale (MES) of pr..

  Business-industry implications of civic responsibility

What knowledge, skills, attitudes, and behaviors should an effective citizen have? Explain the connections you see among service, civic responsibility, and business? What are the business/industry implications of civic responsibility?

  Describes perfectly and monopolistically competitive firm

For each of the following characteristics, say whether it describes a perfectly competitive firm, a monopolistically competitive firm, both, or neither. sells a product differentiated from that of its competitors. has marginal revenue less than price

  Supply and demand in the cell phone market

Supply and Demand in the Cell Phone Market.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd