When the factories produce pesticide, they also create waste, which they dump into a lake on the outskirts of a small town. The marginal extemal cost of the dumped waste is equal to twice the marginal private cost. So the marginal social cost of producing pesticide is three times the marginal private cost. No one owna the lake, and the govenment implementa a cap-and-trade system to limit polution to its efficient sevet. What ia the market price of the permit? The market price of the permit is $__________ ton.
When the factories produce pesticide, they also create waste, which they dump into a lake on the outskirts of a small town. The marginal extemal cost of the dumped waste is equal to twice the marginal private cost. So the marginal social cost of producing pesticide is three times the marginal private cost. No one owna the lake, and the govenment implementa a cap-and-trade system to limit polution to its efficient sevet. What ia the market price of the permit? The market price of the permit is $__________ ton.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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When the factories produce pesticide, they also create waste, which they dump into a lake on the outskirts of a small town.
The marginal extemal cost of the dumped waste is equal to twice the marginal private cost. So the marginal
No one owna the lake, and the govenment implementa a cap-and-trade system to limit polution to its efficient sevet.
What ia the market
The market price of the permit is $__________ ton.

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