The laws associated with command-and-control regulations Question 38 options: a) specify allowable quantities of pollution. b) allow a wide range of possible solutions for pollution-control. c) offer incentives for businesses to exceed the allowable quantities of pollution. d) attempt to reduce the private costs of businesses.

Environmental regulation that permits policymakers to govern both the amount and the procedure by…

Answered: The laws associated with…

Economics (MindTap Course List)

13th Edition

ISBN:9781337617383

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter30: Market Failure: Externalities, Public Goods, And Asymmetric Information

Section: Chapter Questions

Problem 14QP

See similar textbooks

Similar questions

Is zero pollution possible under a marketable permits system? Why or why not?
Economists sometimes shock noneconomists by stating that they do not favor the complete elimination of pollution. Explain the rationale for this position.
(Optimal Provision of Public Goods) Using at least two individual consumers, show how the market demand curve is derived from individual demand curves (a) for a private good and (b) for a public good. Once you have derived the market demand curve in each case, introduce a market supply curve and then show the optimal level of production.
About five decades ago, when The Environment Protection Agency was created about, it decided to address pollution through command-and-control laws. These laws, draws distinctions between the needs of firms and costly equipment upgrades. were necessary as US industries had zero incentive to control pollution. were an inexpensive incentive for industrial polluters to improve performance. are given considerable credit for cleaner air and water in recent decades.
Which of the following statements about pollution taxes, cap and trade, or command-and-control standards is FALSE? a.) Pollution taxes strictly control the amount of pollution but leave marginal abatement costs to be determined by the market. Cap-and-trade programs strictly control marginal abatement costs but leave the actual amount of pollution to be determined by the overall level of economic activity. b.) Pollution taxes are unpopular in the U.S. because American companies tend to dislike taxes in general. However, pollution taxes offer firms some greater certainty about how large will be their marginal cost of abatement on the last unit of abatement they will need to do, if they are to minimize the costs they incur both for cleanup and for pollution taxes. c.) Both command-and-control pollution standards, and cap-and-trade programs, can effectively limit the total amount of pollution, but command and control will be least-cost only by accident. Usually,…
The following companies all manufacture widgets and dump tons of glop into the air. Manufacturer Cost to clean up 1 ton of glop Current contribution to overall pollution (tons of glop) 200 Polluters-R-Us Smog Brothers, Inc. Really Dirty Industries 0 $ 70 100 30 The government wants to halve total pollution but does not know how much it will cost each company. the government employs a tradable permit scheme in which it gives the same number of permits to each manufacturer at no cost, the total cost of cleanup for Smog Brothers, Inc., after the exchange of permits, is $ 7,000 6,000 13,000 200 200
Summarize the effects of the Clean Air Act on U.S. air pollution.
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 automobiles
If policymakers use a pollution tax to control pollution, the tax per unit of pollution should be set A. equal to the marginal external cost at the economically efficient level of pollution. B. equal to the marginal private cost of production at the economically efficient level of pollution. C. equal to the amount of the deadweight loss created in the absence of a pollution tax. D. at a level low enough so that producers can pass along a portion of the additional cost onto consumers without significantly reducing demand for the product.
Tradable pollution permits a. set the price of pollution. b. set the quantity of pollution. c. determine the demand for pollution rights. d. reduce the incentive for technological innovations to further reduce pollution.
Which of the following statements is TRUE about the optimal quantity of pollution? Question 6 options: irms should be allowed to determine the profit-maximizing amount of pollution abatement. Pollution abatement should continue up to the point where marginal cost equals the average total cost. Trade-offs exist between producing a cleaner environment and producing other goods and services. It equals zero.
Production of Commodity X creates 10 pounds of emissions for every unit of X produced. The demand and supply curves for X are described by the following table: What is the equilibrium price and quantity, and how much pollution will be emitted?

Recommended textbooks for you

Economics (MindTap Course List)

Economics

ISBN:

9781337617383

Author:

Roger A. Arnold

Publisher:

Cengage Learning

Microeconomics

Economics

ISBN:

9781337617406

Author:

Roger A. Arnold

Publisher:

Cengage Learning

Microeconomics: Private and Public Choice (MindTa…

Economics

ISBN:

9781305506893

Author:

James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

Publisher:

Cengage Learning

Economics (MindTap Course List)

Economics

ISBN:

9781337617383

Author:

Roger A. Arnold

Publisher:

Cengage Learning

Microeconomics

Economics

ISBN:

9781337617406

Author:

Roger A. Arnold

Publisher:

Cengage Learning

Microeconomics: Private and Public Choice (MindTa…

Economics

ISBN:

9781305506893

Author:

James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

Publisher:

Cengage Learning

Economics: Private and Public Choice (MindTap Cou…

Economics

ISBN:

9781305506725

Author:

James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

Publisher:

Cengage Learning

Micro Economics For Today

Economics

ISBN:

9781337613064

Author:

Tucker, Irvin B.

Publisher:

Cengage,

Economics For Today

Economics

ISBN:

9781337613040

Author:

Tucker

Publisher:

Cengage Learning

SEE MORE TEXTBOOKS