My Child, My Choice If all U.S. children were vaccinated many lives would be saved, infections would be down, and medical costs would be lower. Vaccinations protect not only the kids that receive the shots but also those who can't receive them. Source: Time, June 2, 2008 Draw a graph to illustrate the private market for vaccinations and show the deadweight loss. Draw a demand and marginal benefit curve. Label it D = MB. Draw a supply and marginal cost curve. Label it S= MC. As the quantity of vaccinations increases, the marginal external benefit from each vaccination decreases. Draw a marginal social benefit curve. Label it MSB. 12- 10- 8- 24 0+ 0 Price (dollars per flu shot) 2 4 6 8 10 Quantity (millions of flu shots per season) 12 Q O 2

My Child, My Choice If all U.S. children were vaccinated many lives would be saved, infections would be down, and medical costs would be lower. Vaccinations protect not only the kids that receive the shots but also those who can't receive them. Source: Time, June 2, 2008 Draw a graph to illustrate the private market for vaccinations and show the deadweight loss. Draw a demand and marginal benefit curve. Label it D = MB. Draw a supply and marginal cost curve. Label it S= MC. As the quantity of vaccinations increases, the marginal external benefit from each vaccination decreases. Draw a marginal social benefit curve. Label it MSB. 12- 10- 8- 24 0+ 0 Price (dollars per flu shot) 2 4 6 8 10 Quantity (millions of flu shots per season) 12 Q O 2

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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QUESTION 38 | To internalize a positive externality: a. the consumers of a good could receive a subsidy equal to the external benefit resulting from the production or consumption of the good. b. a producer's costs could be increased by an amount equal to the external benefit resulting from the production of the good. c. consumers of the good could pay a tax equal to the external benefit resulting from the production or consumption of the good. d. Both (a) and (c) are correct O E O O O D B A с e. none of the above
3. Use the graph to answer the question that follows.Assume that the market shown is perfectly competitive with no externalities. If the production output is 15,000 units, then A-the market is allocatively efficient B-there is a shortage of the good C-deadweight loss is being minimized D-deadweight loss is being maximized E- consumer and producer surplus are maximized 5.Use the graph to answer the question that follows. What is the market equilibrium quantity and price at which there is no government regulation? A-15, $17.50 B-20, $15 C-30, $25 D-35, $22.50 E- Indeterminate
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This summer, the temperature records on each other's feet seem to be beaten. In Sweden, the temperature has recently risen to 43 degrees and birds are falling from the sky over exhausted and dying. Carbon emissions are one of the main challenges facing mankind today. Explain the market failure caused by the emissions. Under competitive conditions, the government can use various control tools to establish efficient quantities, e.g. with a fee. Show the effect of such a solution on a diagram and explain in detail why an economical amount involves some pollution. In a monopoly situation, it is not as simple as establishing efficiency by charging emissions. Explain in words and pictures how the different interplay between the cost factors of a company and pollution costs can cause certain government tariffs on pollution to be cost-effective on the one hand and inefficient on the other.
The provided figure shows the deadweight loss associated with negative externalities (ABD). Draw a similar figure to show the deadweight losses associated with positive externalities. Briefly explain. NOTE: take line "price" as the marginal benefit curve
Draw a supply curve and describe the external factors that determine supply.
A graph shows the hypothetical social demand (social), private demand, social supply, and private supply for energy. What is the total benefit at the privately efficient equilibrium? What is the total cost at the privately efficient equilibrium? What is the total benefit at the socially efficient equilibrium? How do you figure these out? What is the total surplus at the socially efficient equilibrium? The deadweight loss at privately efficient equilibrium compared to the socially efficient equilibrium? Thx
The Cemex plant in Davenport produced cement. The production of cement created dust which traveled through the air and landed on the nearby area. Testing at an elementary school and fire department near the plant showed toxic levels of Chromium 6 resulting from the dust. Using the concept of externalities and the graph below, explain what kind of externality this event created and the effects this had on economic efficiency. Be sure to indicate any differences between market price and quantity for cement and the efficient price and quantity.
The following table shows how the marginal benefit of a service varies for five consumers. Quantity 1 Serkan Asuman Bahar Murat Meriç 3 100 75 50 125 200 4 75 50 25 125 150 150 125 100 200 600 a. Derive the demand curve for this service assuming that it is a public good. If marginal cost of the good is 850, what is the efficient output of the public good? c. If marginal cost of the good is 425, what is the efficient output of the public good? d. If marginal cost of the good is 850, what is the efficient output assuming it is private good? 125 100 75 150 400 o.
Why do firms pollute?
Sub : EconomicsPls answer very fast.i ll upvote correct answer . Thank You The figure below shows the market for water-skiing permits on Shuswap Lake in British Columbia. Every person who wishes to water ski must obtain a permit, which is valid for one day. Suppose that each water skier imposes a $4 negative externality on other people who use the lake.