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A firm emits 30 tons of a pollutant, before the government begins to regulate it. The firm’s marginal abatement cost curve is given by: MAC = 10*A (A = “tons of abatement”)
a) The government issues an NPDES permit authorizing exactly 20 tons of emissions to this firm.
i) What is the firm’s total abatement cost?
b) Instead of an emissions standard, the government decides to impose an emissions tax of $100/ton
i) How much abatement will the firm undertake?
ii) How much will the firm emit?
iii) What are the firm’s total abatement costs?
iv) How much will the firm pay in emissions taxes?
v) What is the firm’s total compliance cost?
Two methods of filling cereal boxes are being compared. Both methods fill the box with the same amount of cereal on average so the company wants to select the method with the lower variance. At the 5% level of significance, does it appear that the va..
When the average total cost curve is rising, then the marginal cost curve will be?:
Suppose Nation A can produce 2 million pounds of sugar per week OR 1 million pounds of rice in a week and Nation B can produce 10 million pounds of sugar per week OR 3 million pounds of rice in a week. If this is a two-good, two nation model
A stock has a beta of 1.15, the expected return on the market is 10.9 percent, and the risk-free rate is 4.5 percent. What must the expected return on this stock be?
If an individual is taxed at a 17 percent rate for each extra dollar earned, the reference is to the
propose to model his tastes in the following way: For any 2 bundles A and B of "grams of cocaine" and "dollars of other consumption.
More than 85% of McDonald's restaurants around the world are owned by independent franchisees.
q.a can of soda costs 0.75 in the united states and 12 pesos in mexico. what would the peso- dollar exchange rate be if
The following events have their initial impact on which of the following: aggregate demand, short-run aggregate supply, long-run aggregate supply, or both short-run and long-run aggregate supply? Do the curves shift to the right or left?
Executives estimate, for the first year, that they will have gross revenues of $500K, total costs of $300K, $30K in tax deductions and a one-time start-up credit of $8K. What will the company pay in income tax?
If hospitals begin to affiliate within regions, would you expect that %u201Cunnecessary duplication of facilities%u201D would increase, decrease or stay the same?
Suppose the demand for apartment rentals in Los Angeles is Q = 1000 - P and the supply of apartment rentals is Q = 4P. What is the equilibrium price and quantity of apartment rentals in LA? Suppose the government imposes a price ceiling of $150. What..
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