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- Answer the given question with a proper explanation and step-by-step solution. Does the fact that public decisions are sometimes made by self-interested politicians and bureaucrats undermine the efficiency of public-sector decision making? Discuss in detail.Consider an economy which is heavily dependent on tourism. To boost tourist revenue, the government has decided to reclaim the sea to build a theme park at the coastal area. This has resulted in sea pollution, reduces the fish stock and threaten the livelihoods of fishermen in the vicinity. (a)Describe the type of externality exist in the scenario. Explain with a suitable diagram and highlight the area of the efficiency loss. (b)Explain the remedial action to rectify the externality problem.2a) Livestock and poultry farming are some of the largest contributors of ammonia emissions. Ammonia has been shown to interact with other pollutants to form ammonium salts that negatively impact air quality and adversely impact human breathing. As a result, economists might suggest that animal products have an associated _________ externality? 2b) Draw the private cost, private benefit, social cost, and social benefit curves in the market for the animal products. If any of the curves are the same, label the curve as both. 2c) Is there market failure if the market runs freely? If so, is the socially optimal quantity of animal products higher or lower than the market outcome? 2d) Provide a policy suggestion that would help to correct any market failures that arise due to this externality. Explain why this would be effective. Can someone please help me and explain this to me please? Thank you so much in advance!!!
- Describe and explain Samuelson’s general equilibrium model with one pure public good and one private good using the diagrammatic framework. Derive the efficiency condition which emerges.(a) Explain what is meant by the term "negative externality" in productionD4) explain the implications of the aspect you chose for public management? public financing and budgeting
- Compare and contrast the following concepts and indicate their implications to the provision of local public goods: Tiebout model vs. Lindahl taxes in the context of provision of local public goods1. State the assumptions associated with a material balance modeling approach and give an example of an environmental problem that would meet the assumptions.a-Negative Externalities----What Kind of Effect Does It Create MSC and MPC b-What kind of an effect does it have in the market equilibrium that gets established? c-How does the q * compare with the q that is a social optimum. Which social optimum ensuring condition is violated as a result of externalities(negative or positive) d-What about a monopoly? How does market power change the relationship between MC and the aggregate benefit curve? What do we need to assume about the firms to make sure that this condition does not hold? How is that related to the elasticity calculation we made for the market demand/individual demand curve? e- How does the q* under monopoly compare with the q that would give us the social optimum. How is it related to the incentive structure for a monopoly?
- The optimal size of government is theoretically determined by following the principal that additional public sector activity is desirable only if the benefits of that activity exceed its opportunity cost. Valuation Problems Because of an absence of a price signal for government goods, it is sometimes very difficult to put a monetary value on the benefits of government goods. Who is paying for them and who is benefitting from themRequired information Skip to question An image shows the curves of MSC, MPC, MSB and MPB. Image shows the bar graph which represents the curves of MSC, MPC, MPS, MPB and these cross each other's. At x- axis shows the Quantity per period and at y-axis shows the Price in dollar. Refer to the above graph to answer this question. If this product were taxed by an amount equal to the external costs, what would be the total amount of tax revenue? Multiple Choice $14,000. $ 10,000. $6,000 $8,000. $16,000. Required information Required information Price $100 90 80 70 60 50 40 30 20 10 0 200 400 600 800 MSC MPC MSB MPB 1000 1200 1400 Quantity per period1a) Water filtration removes contaminants that increase the risk of plant diseases from a farmer's water sources. As a result, there is a decreased risk of consumers suffering illnesses from consuming crops grown with filtered water. Due to this, economists might suggest that the use of water filtration systems in agriculture has an associated ________ externality? 1b) Draw the private cost, private benefit, social cost, and social benefit curves in the market for water filtration systems. If any of the curves are the same, label the curve as both. 1c) Is there market failure if the market runs freely? If so, is the socially optimal quantity of farmers using water filtration systems higher or lower than the market outcome? 1d) Provide a policy suggestion that would help to correct any market failures that arise due to this externality. Explain why this would be effective. 2a) Livestock and poultry farming are some of the largest contributors of ammonia emissions. Ammonia has been…