What is the new socially optimal quantity of pollution

Assignment Help Macroeconomics

Reference no: EM13179478

A factory benefits from discharging effluent, q, into a lake. The marginal benefit function is given by 60-2q. The pollution causes damages to two nearby communities. The marginal damages to Community A are 1q. The marginal damages to community B are 2q.

Now, two other factories start producing in the area and benefit from polluting, too. For each, the marginal benefit from pollution is given by 60-4q. What is the new socially optimal quantity of pollution?

Reference no: EM13179478

Questions Cloud

Explain the greater effective nuclear charge : Which will experience the greater effective nuclear charge, the electrons in the n=3 shell in Ar or the n=3 shell in Kr? Which will be closer to the nucleus?

State air to produce significant amounts of heat : Nitromethane CH3NO2) burns in air to produce significant amounts of heat. 2 CH3NO2(l) + 3/2 O2(g) --> 2 CO2(g) + 3 H2O(l) + N2(g). delta H^0 reaction = -1418 kJ

Define what is the final temperature of the mixture : what is the final temperature of the mixture? Use 1.00g/mL as the density of water.

Explain what is the concentration of acid : We titrated each layer with 0.10 NaOH and found that 1. took 2.57 mL of NaOH to titrate and 2. took 0.08 mL of NaOH to titrate. What is the concentration of acid in 1 and 2?

What is the new socially optimal quantity of pollution : The marginal damages to Community A are 1q. The marginal damages to community B are 2q.Now, two other factories start producing in the area and benefit from polluting, too. For each, the marginal benefit. two other factories start producing in the ar..

Explain the heat released increases the temperature : When a 1.30-g sample of ethanol (alcohol) is burned in a calorimeter, the heat released increases the temperature of 870g of water in the calorimeter from 18.5 C to 28.9 C .

State draw the lewis structure of the major resonance : Draw the Lewis structure of the major resonance form of the thiosulfate ion, S2O3 2-. Include all lone pairs of electrons. Include formal charges on atoms with charges.

Would there be a free rider problem, yes or no : What is the quantity of abatement that would be observed if the two communities could not reach an informal agreement among themselves, but each community could undertake a transaction with the factory? Would there be a free rider problem, yes or ..

State the components in a mixture by gas chromatography : identities of the components in a mixture by Gas chromatography may be determined by the technique called "spiking".

User Account

All Pages