PRICE OF WILDFLOWERS 9. Efficiency in the presence of externalities Wildflowers grant many external benefits on society: the benefits they bestow on polinators and other native species, improving local ecosystems, and so on. Therefore, the market equilibrium quantity of wildflowers does not equal the socially optimal quantity. The following graph plots the demand for wildflowers (their private value), the supply of wildflowers (the private cost of producing them), and the social value of wildflowers, including both the private value and external benefits Use the black point (plus symbol) to indicate the market equilibrium quantity. Next, use the purple point (diamond symbol) to indicate the social Demand QUANTITY OF WILDFLOWERS Supply Private Ca

PRICE OF WILDFLOWERS 9. Efficiency in the presence of externalities Wildflowers grant many external benefits on society: the benefits they bestow on polinators and other native species, improving local ecosystems, and so on. Therefore, the market equilibrium quantity of wildflowers does not equal the socially optimal quantity. The following graph plots the demand for wildflowers (their private value), the supply of wildflowers (the private cost of producing them), and the social value of wildflowers, including both the private value and external benefits Use the black point (plus symbol) to indicate the market equilibrium quantity. Next, use the purple point (diamond symbol) to indicate the social Demand QUANTITY OF WILDFLOWERS Supply Private Ca

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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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.
A local school administrator observes an increase in the number of flu cases in the public schools over the last two years. She is concerned that some families cannot afford flu vaccine and are therefore not having children vaccinated. She is also concerned that the failure to vaccinate some children is putting other children at risk, so she proposes that the state subsidize vaccines to increase coverage rates. a. Determine whether the failure to vaccinate some children is an external benefit or an external cost. If an external cost is present, move point A and point B to show the marginal social cost curve. If an external benefit is present, move point A and point B to show the marginal social benefit curve. Place point C at the equilibrium outcome. Place point D at the socially optimal outcome. Flu vaccines A B D Supply (marginal private cost) Price
Economics: Public Economics Question: 1 Table 3 The following table shows the marginal costs for each of four arms (A, B, C, and D) to eliminate units of pollution from their production processes. For example, for Firm A to eliminate one unit of pollution, it would cost $54, and for Firm A to eliminate a second unit of pollution it would cost an additional $67. Refer to Table 3. If the government charged a fee of $90 per unit of pollution, how many units of pollution would the arms eliminate altogether? Guess: 11 Question 2: Refer to Figure 5 (Graph 4). Which graph illustrates a pollution permit program? a. the left graph b. both graphs c. the right graph d. neither graph Thank you for your help and support Instructor Agent!
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Address the question in the image.
3. The effect of negative externalities on the optimal quantity of consumption Consider the market for electric cars. Suppose that a electric car manufacturing facility dumps sludge into a nearby river, creating a negative externality for those living downstream from the facility. Producing additional electric cars imposes a constant per-unit external cost of $600. The following graph shows the demand (private value) curve and the supply (private cost) curve for electric cars. Use the purple points (diamond symbol) to plot the social cost curve when the external cost is $600 per unit. PRICE (Dollars per unit of electric cars) 2000 1800 1600 1400 1200 1000 800 600 400 200 0 0 + 1 O □ ☐ O 2 3 4 5 QUANTITY (Units of electric cars) The market equilibrium quantity is ☐ Supply (Private Cost) 6 Demand (Private Value) 7 Social Cost (?) units of electric cars, but the socially optimal quantity of electric car production is To create an incentive for the firm to produce the socially optimal…
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.
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how do you read this type of graph and know whats going on
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