Emission fees and damages | Economics homework help

1. Consider the problem of regulating acid rain in the eastern US. Assume emissions are generated in the Midwest and the Northeast but acid rain damage only occurs in the Northeast. One million tons of emissions in the Midwest results in 1 microgram per square meter of deposition; one million tons of emissions in the Northeast results in 2 micrograms per square meter of deposition. Damage (in millions of dollars per year) from deposition (d) is given by: D(d) = d^2/2, where d is measured in micrograms per square meter of deposition. Prior to any imposition of emission controls, the Midwest was emitting only 3 million tons per year, whereas the Northeast was emitting 5 million tons per year. Pollution control costs in either region are given by: C(k) = k^2/2, where k is the amount of emission reduction per year in a region, in millions of tons. 

 

A. Write total damages in terms of the amount emissions are reduced in each of the two regions. 

B. Write an expression for the total social costs, consisting of pollution damage and emission control costs. Write this expression in terms of the amount emissions are  reduced in each of the two regions. 

C. Find the efficient amount of emissions reduction from each region. 

D. What emission fee, applied in each region, would support this efficient level of emissions?

Place your order
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more