price 100 90 MPC-MSC 80 70 30,67.5 60 40,60) 50 30,45) 40 40,37.5) MSB 30 20 10 MPB 10 20 30 40 50 60 70 80 90 100 quantity of trees (thousands) Trees planted in urban areas improve air quality, reduce soil erosion, and moderate temperatures in hot cities. The figure depicts the market for trees planted in Tempe, Arizona. What is the value of the deadweight loss if the market is unregulated? To review this concept, see the section Positive Externalities. 100 50 225 112.5

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
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price
100
90
MPC-MSC
80
70
30,67.5
60
40,60)
50
30,45)
40
40,37.5)
MSB
30
20
10
MPB
10 20 30 40 50 60 70 80 90 100
quantity of trees (thousands)
Trees planted in urban areas improve air quality, reduce soil erosion, and moderate
temperatures in hot cities. The figure depicts the market for trees planted in Tempe, Arizona.
What is the value of the deadweight loss if the market is unregulated?
To review this concept, see the section Positive Externalities.
100
50
225
112.5
Transcribed Image Text:price 100 90 MPC-MSC 80 70 30,67.5 60 40,60) 50 30,45) 40 40,37.5) MSB 30 20 10 MPB 10 20 30 40 50 60 70 80 90 100 quantity of trees (thousands) Trees planted in urban areas improve air quality, reduce soil erosion, and moderate temperatures in hot cities. The figure depicts the market for trees planted in Tempe, Arizona. What is the value of the deadweight loss if the market is unregulated? To review this concept, see the section Positive Externalities. 100 50 225 112.5
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