3. There are two firms that emit pollutant SO2. Assume the pollution abatement technology of the two firms can be represented by MAC functions: MACA = 240 – 6E and MACB = 160 - 4E. Currently there is no pollution control. Now the local government wants the total pollution to be reduced by 50%. Suppose the government knows the pollution abatement technology of the two firms, and an emission standard policy is in order. To minimize the total cost of pollution abatement, how should the government set the quantity of SO2 that Firm A is allowed to emit? How many tons should the government allow Firm B to emit? What is the total abatement cost of the two firms? Draw a graph to illustrate your answer.

3. There are two firms that emit pollutant SO2. Assume the pollution abatement technology of the two firms can be represented by MAC functions: MACA = 240 – 6E and MACB = 160 - 4E. Currently there is no pollution control. Now the local government wants the total pollution to be reduced by 50%. Suppose the government knows the pollution abatement technology of the two firms, and an emission standard policy is in order. To minimize the total cost of pollution abatement, how should the government set the quantity of SO2 that Firm A is allowed to emit? How many tons should the government allow Firm B to emit? What is the total abatement cost of the two firms? Draw a graph to illustrate your answer.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Q: Q 0.3, 0.4, 0.5, 0.6, 0.7, 0.8, 0.9, 1.1, 1.2, 1.3, 1.4, 1.5, 1.6, 1.7, 1.8, 1.9, 2.1, 2.2, 2.3,…

A: Understanding the Marginal Revenue Function and ElasticityWe are given the marginal revenue (MR)…

Q: - You can adjust the values in the accompanying table for fields with white backgrounds. Once you…

A: Since you have posted question with multiple sub parts, we will provide the solution only to the…

Q: Marginal Marginal Output Revenue Cost -- -- $16 $14 16 16 15 4 16 21 16 28 Refer to the above data.…

A: When revenue earned from a business operation exceeds the expenditures, costs, and taxes involved in…

Q: A measure that is high in validity a) measures what it is intended to measure. D) demonstrates a…

A: Answer: a (measures what it is intended to measure) Explanation: A test has high validity if it…

Q: 3 Question 10 Suppose X and Y are random variables. Furthermore, var(X)=4, var(Y)=16, and…

A: The objective of the question is to calculate the population variance of a linear function of two…

Q: Solve only if all subparts

A: An extensive game is a concept in game theory that represents a strategic interaction between…

Q: Randomly choose one country from each of the following regions: Africa, the Caribbean, Latin America…

A: Here are four randomly chosen countries from each of the specified regions along with their…

Q: The manager at a local fast-food restaurant is doing an inventory of the breakfast items sold last…

A: Step 1: Find the total for each item solve last weekItem…

Q: Let's say we have a function \\[ Q A=10-2 P A-4 P B-2 I N C \\] then Good A normal There is not…

A: Function is the guarantee that the resources at hand are used wisely and optimally by maximizing…

Q: The two households will choose different consumption bundles. True, false, or undetermined?

A: The optimal consumption bundle for a consumer is that which offers the highest possible utility to…

Q: A study by University of Minnesota economist, Joel Waldfogel, estimated the difference in the actual…

A: Solution - Given in the question - According to study that average recipient's valuation was…

Q: A group of 10 golfing friends have the following annual incomes: $32,000, $12,000, $56,000,…

A: When analyzing income distribution, the data set is divided into equal parts known as quintiles,…

Q: Solve for X: (X + 8)/24 = 3/4 Round to two decimal places.

A: Solution- Given in the question -(X+8)/24 = 3/4We have to find "X"

Q: a. Compute E(Y). b. The unemployment rate is the fraction of the labor force that is unemployed.…

A: ( According to Bartleby Guidelines we are only allowed to answer 3 sub parts of a question at a…

Q: Give typing answer with explanation and conclusion Suppose that the government must undertake an…

A: Environmental economics is the study of the relationship between the environment and the economy. It…

Q: According to a recent Wall Street Journal article, about 2% of new US car sales are electric…

A: The USA experiences a sales of electric vehicles of 2%. The company has 111 employees that drive…

Q: 1. Suppose that you own a used car dealership. You want to sell a 2005 Honda Civic LX. You know that…

A: As per student request I have done answering D-F. Please see in below -

Q: The coefficient of determination does not tell the reader if the relationship is positive or…

A: Coefficient is the value that when other things remain the same change in one unit of independent…

Q: ADVERSE SELECTION Somet Health Insurance Company wants to sell a health insurance product for $700…

A: Adverse selection is likely to occur when the sellers possess more information than the buyers, or…

Q: X2 =-2 X3 = 5 Compute X. Your answer is an integer. No decimal place. Your Answer:

A: here we calculate the given by following as follow;

Q: Which demand curve above is relatively more elastic between P and P2?

A: Elasticity and inelasticity of demand shows the degree to which demand reacts to (any) change in…

Q: Find əU :U(x1, x2) = 16x1 + 8x2 О 8 16+8x2 о 16x1 + 8 24

A: Derivatives can be defined as an instantaneous change rate of a quantity with respect to the other.…

Q: Check for Understanding: Numerical Congruence ABUG = APET. The perimeter of APET is 50 inches. If…

A: If the sides be a, b and c, then Perimeter = a + b + c 50 = 38 + c [since the triangles are…

Q: Month January February March April Pasta (dollars per Yogurt (dollars per pound) $1.83 1.90 2.07…

A: Given that, Hanna's parents buy each month 32 pounds of pasta 79 packages of yogurt 22 bottles of…

Q: U4 = 5+ /y 2 U5 = min(x, y) +; 2 Ug = 2 In(x) + In(y)

A: U4 =x2 + y Marginal utility of x: dUdx = 12 Marginal utility of y: dUdy = 12y Marginal rate of…

Q: y equals his income minus s effort cost. incentives to Arthur to create better videos and attract…

A: *Answer: answers Arthur has Q=8e viewers and for each viewer he gets b His income= 8eb Cost=…

Q: xt:Bong-Cha is deciding what to do during the 30-minute break between her college classes. One rule…

A: Rule (A) Choose the activity with the highest value Rule (B) Choose the activity with the lowest…

Q: a) For each, find the expressions for marginal utilities and the marginal rate of substitution, and…

A: *Hi there as you have posted multiple sub parts , as per our guidelines we will only first three .…

Concept explainers

Comparative Advantage and Absolute Advantage Analysis

The theory of absolute advantage was given by Adam Smith in the year 1776.

Question

Q. 3

3. There are two firms that emit pollutant SO2. Assume the pollution abatement technology
of the two firms can be represented by MAC functions: MACA = 240 – 6E and MACB = 160
- 4E. Currently there is no pollution control. Now the local government wants the total
pollution to be reduced by 50%. Suppose the government knows the pollution abatement
technology of the two firms, and an emission standard policy is in order. To minimize the
total cost of pollution abatement, how should the government set the quantity of SO2 that
Firm A is allowed to emit? How many tons should the government allow Firm B to emit?
What is the total abatement cost of the two firms? Draw a graph to illustrate your answer.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

Step 2

Step 3

Step 4

Step 5

Trending now

This is a popular solution!

Step by step

Solved in 5 steps with 1 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

Solve by hand (no excel)
Compute the R² using the following information. What does this number mean? Wage = 4.43 +0.61Edu + e n = 1089, SST = 37211.6, SSE 37211.6, SSE 19848.2 R² = = = 0.4666. 46.66% of the variation in wage can be explained by education. R² = 0.5334. 53.34% of the variation in wage can be explained by education. R² = 0.61.61% of the variation in wage can be - explained by education. R² = 0.3043. 30.43% of the variation in wage can be explained by education.
pls help asap on both
Suppose we are again given 20 tulip bulbs that are very similar in appearance. Information on this new set of tulips is summarized below: Early (E) Late (L) Totals Red (R) Yellow (Y) Totals 5 5 10 5 5 10 10 10 20 What is P(Y)? (Enter the probability with two decimal places)
2x+3z = 5 and 3x+2z = 5. The value of both x and z is A/
A merchant who sells newspapers and magazines at the corner kiosk heard you manage the Times’ inventory and asks for your advice. She has a small, variable number of customers who daily purchase the Chicago Sun Times. In order to get the newspapers in time, she has to place an order for the next day’s newspapers before noon. She pays $0.50 for each newspaper and sells them for $1.50 each. She has kept detailed records of her past sales of the Chicago Sun Times and estimates that 10% of the time she sells 10 newspapers, 40% of the time she sells 11, 30% of the time she sells 12, and 20% of the time she sells 13. (a) What is the merchant’s marginal profit and marginal loss? (b) Determine how many Chicago Sun Times newspapers she should buy every day to maximize expected profits. (c) Calculate the merchant’s expected profits for the optimal order quantity. (d) The merchant has always purchased 13 newspapers, thinking that the best way to maximize profits was to always meet the demand.…
Consider a class with 80 enrolled students. None of the students were ill at the beginning of the school year. On August 30th, 10 students reported having a common cold. All continued to be ill on September 1st, but all 10 recovered within 3 days. On September 15th, 5 more students had a cold. All of these students continued to be ill on September 16th, but all recovered 5 days later. In this example, assume that a person cannot have a cold more than once.calculate the cumulative incidence of the common cold in the class during the month of september
Only typed answer
please quickly thanks !
2. (40 points) In their 1999 Applied Economics Letters paper, Zakir and Wunnava proposed the following specification in identifying the factors affecting infant mortality rates (IMR): IMR₁ = B₁+ B₁FERTILITY, + ß₂LNGNP; +ß¸LABOUR; + ßLABOUR² + B₂LITERACY, + BHEALTH; +ε₁ Where i=1,2,..., 117 (i.e., based on a cross-section of 117 countries) IMR = infant mortality rate-number of deaths before age 1 per 1000 live births FERTILITY = number of births per woman LNGNP = the natural logarithm of per capita GNP (note that GNP is measured in '000 of $s) LABOUR = percentage of women in the labor force LITERACY = female literacy rate HEALTH = expenditure on health care as percentage of GNP Following are their estimated regression results along with sample means (based on a cross-section of industrialized and third world countries for 1993). Mean of IMR: 44.983 Variable name Estimated t-ratio Mean coefficient FERTILITY 10.812 7.848 3.5556 LNGNP -6.998 -3.134 8.2585 LABOUR 4.135 3.359 40.051 LABOUR²…
Don't copy give original answer
Can you please answer (Question.4) below?