Market-based environmental policy instruments (e.g., carbon tax or tradeable permits) arecentral to national strategies aiming to mitigate environmental degradation. Choose carbon tax as your market-based environmental policy instrument.ii. Provide a formal (algebraic) evaluation of carbon tax's cost-effectiveness.
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Market-based environmental policy instruments (e.g., carbon tax or tradeable permits) are
central to national strategies aiming to mitigate environmental degradation.
Choose carbon tax as your market-based environmental policy instrument.
ii. Provide a formal (algebraic) evaluation of carbon tax's cost-effectiveness.
Step by step
Solved in 2 steps
- Q)What are economists most concerned with when determining the desirability of pollution abatement programs? a. the expected future costs associated with rising ocean levels b. the future savings to the health-care system from fewer environmental illnesses c. equating the marginal cost and marginal benefit of pollution abatement d. the level of greenhouse gas emissions from automobilesIndividuals go for flu injection not only protect themselves against flu but also help to prevent the disease from spreading in the community. (a) What type of externality occurs in the flu injection market? (b) Is the market outcome efficient? (c) What can the government do to rectify the externality issue?The revenues from an emissions-charge approach to controlling climate change would be unusually large in comparison to other pollutants. What circumstances would lead to high revenues?
- In the context of environmental economics, the "tragedy of the commons" refers to: A) The efficient allocation of resources when property rights are well-defined and enforced. B) The overuse and depletion of common - pool resources due to individual incentives to maximize personal gain, leading to suboptimal outcomes for society. C) The creation of externalities that are fully internalized by market participants. D) The optimal provision of public goods through voluntary cooperation among individuals.Free-market environmentalism has the potential to improve environmental outcomes A. Because it forces individuals to cooperate with each other toward a common goal B. Because it relies on already existing markets to address environmental issues, thereby reducing transaction costs C. Because it recognizes the importance of aligning incentives of stakeholders D. Because it rejects the constraints of the Coase Theorem E. Because its goal is to maximize corporate wealth, which promotes environmentalism and improves environmental outcomesThe main disadvantage of an emissions tax is that .... differences among firms are not incorporated into the policy firms lack the flexibility to pursue different technologies firms cannot behave in an economically-efficient manner. firms do not have the incentive to reduce pollution. the total pollution reduction from an emissions tax cannot be known for sure.
- Please provide correct answer in detail... Provide three reasons why it is important for environmental economists to adhere to a code of ethics, whether the code of ethics is formal (documented and sanctioned by an established group) or informal (simply a matter of thinking about what is right, possible spillover effects, and what advice would be appropriate).How can the benefit-cost analyses attempt to determine whether thesocial benefits of a proposed public activity outweigh the social costs?Can I get help asap please The figure below shows the market for a chemical, of which the production causes certain negative externalities in the form of pollution. Define MCP = marginal private cost, MCS = marginal social cost, D = market demand, P = price, and Q = quantity.(a) If the market is competitive, what is the equilibrium price and quantity?(b) Is this equilibrium outcome socially optimal?(c) In terms of the areas denoted by A, B, and C, what is the deadweight loss to society if the market is competitive?(d) What can the government do to achieve the socially optimal level of pollution?
- Describe one type of negative market externality with a forest as it relates to climate change. Explain what the negative externality is and what it means for the market with no government intervention. b) Now describe two different ways the government could intervene in the market you described in the previous question. How does each government action change that market and what are those changes c) Identify two important ways that a natural resource economist can support the government interventions you have described in this questionPlants A and B emit 12 tons and 6 tons of carbon dioxide (CO2), respectively. MAC(marginal abatement costs) for a = 12 - Ea, MACb=12-2Eb MD(marginal damage) = 1/3*E (E indicates CO2 emission) What is the social optimum for power plants A and B to reduce CO2 by some amount, and how much reduction cost each power plant bears?Compared with a standard, both tradable discharge permits and emission taxes tend to be preferred by firms D' impose larger payment burdens on each and every polluter have been more commonly used in practice to address actual pollution problems provide greater incentives for firms to search for innovative ways to abate pollution