Source marginal abatement cost

Assignment Help Business Economics

Reference no: EM13817141

The following table summarizes the marginal abatement cost functions for an industry with two sources of pollution.

Source Marginal Abatement Cost

A MACA=1,200-3EA

B MACB= 800-2EB

Suppose the regulator wished to reduce total industry emissions by 25% by implementing a uniform standard.

a. What is the level of emissions and abatement at each source under the uniform standard?

b. What is the total compliance cost for the industry of the uniform standard?

c. Is this a cost-effective allocation of the industry abatement target?

Reference no: EM13817141

Questions Cloud

Discuss the type of input that should be gathered : Discuss whether or not operating practices should be changed to accommodate the tune-ups. Be sure to explain your reasoning. Examine the reasons why input should be gathered from the shop owners.

Provide a brief overview of the stakeholder organization : Name and provide a brief overview of the stakeholder organization. Identify and describe the key health care issue the stakeholder is influencing, who is being represented by the stakeholder, the desired impact of the stakeholder on the issue and ..

Contract negotiations-risks-operating margins : In the scenario, the contract negotiations between North Creek Healthcare and the community hospital concluded with an agreement on non-financial (legal) terms.

Price and quantity intercepts and equilibrium : Graph the supply and demand curves. Please identify the x and y axis properly, the Price and quantity intercepts and equilibriumraph the supply and demand curves. Please identify the x and y axis properly, the Price and quantity intercepts and equili..

Source marginal abatement cost : The following table summarizes the marginal abatement cost functions for an industry with two sources of pollution. What is the level of emissions and abatement at each source under the uniform standard? What is the total compliance cost for the indu..

Summarize the situation with the channel tunnel : Summarize the situation with the Channel Tunnel (Eurotunnel). Explain why poor project planning in terms of project control and change management made this project a failure.

Create a marketing plan for your new product : Complete the final phase of your New Product Launch Marketing plan. Using the sample Marketing Plan in Marketing and Management (pp. 60-65), consider your product launch to date, reflect on additional learning, and refine to create a Marketing Pla..

What impact will this have on equilibrium real gdp : Suppose a private closed economy has an MPC of .8 and a current equilibrium GDP of $7400 billion. What is the multiplier in this economy? Now suppose the economy opens up trade with the rest of the world and experiences net exports of $20 billion. Wh..

Explain the effect of a discretionary cut in taxes : Explain the effect of a discretionary cut in taxes of $40 billion on the economy when the economy’s marginal propensity to consume is .75. How does this discretionary fiscal policy differ from a discretionary increase in government spending of $40 bi..

User Account

All Pages