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Question - Suppose the marginal costs of mitigating Greenhouse Gas emissions for two coal producers are given as follows:
Producer 1: MC1 = 10Q1
Producer 2: MC2 = 40Q2
where MC1 and MC2 are the marginal control costs and Q1 and Q2 are the volumes of emissions reduced by producers 1 and 2 respectively. With no controls at all, each firm emits 50 units totalling 100 units.
Compute the cost-effective allocation of control responsibility if a total reduction of 50 emission units is required.
If the Government wants to charge an emission tax, what per unit tax should they impose?
How much total revenue would the Government collect from the emission tax of section b)?
Suppose that a roadside orange stand in Florida charges $1 for a bag of "standard" oranges and $2 for a bag of "premium" unblemished oranges, which are guaranteed to be perfectly ripe. In Montana, consumers must pay $3 per bag to transport FL oranges..
The effect of interest rates on economic growth
What is the relationship between the average variable cost and marginal cost and relation between average product and average variable cost?
Identification Problem in the development of a demand function is a result - The method which can give some information in estimating demand of a product that hasn't yet come to market - One commonly used test in checking for the presence of autocorr..
Evaluate the role and scope of government in market economies versus command economies and discuss why nations trade, as well as valid and invalid arguments for restraints to free trade.
Compare and contrast direct finance and indirect finance. Which is more likely to have a larger share of the total financial market in a mature economy? In a young economy? Why?
What does this imply about efficient trade?
In today's economic climate, retailers are continuously conducting sales in order to get customers in their doors. Analyze the short-term and long-term effects of continuous sales to all stakeholders.
Develop a list of 2 or 3 resources you might use to gather historical economic data as well as economic forecast data - Explain how and why each source is valuable and useful.
suppose the united states economy is represented by the following equationsz c i g c 500 .5yd t 600 i 300yd y -
Pear Inc. is a monopolist producing the iWatch, a wristwatch mobile communication device. The iWatch is a device that will last for exactly two periods, after everyone will switch to Boogle Glass, a eyeglass mobile communication device that is ..
Explain why purchasing, power, parity (PPP) works better in the long run than in the short run. Your 200 word answer should focus on selecting and organizing your most relevant comments in a coherent fashion.
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