EC383 Environmental Economics
10 Pages2275 Words120 Views
University of Essex
Environmental Economics (EC383)
Added on 2020-04-15
EC383 Environmental Economics
University of Essex
Environmental Economics (EC383)
Added on 2020-04-15
ShareRelated Documents
qwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmrtyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwertyuiopasdfghjklzxcvbnmqwEnvironmental economics[Type the document subtitle][Pick the date]ABC
ContentsPart 1...........................................................................................................................................................2Part 2...........................................................................................................................................................4Part 3...........................................................................................................................................................7b) Figure 1: Pollution Level, Marginal Public Damage and Marginal Private Savings..................................3Table 1 Willingness to pay at every level of P for pollution Abated.............................................................5Table 2 Marginal Cost to the Firm for Every Unit of Pollution Abated.........................................................5Table 3 Profits when Tod had rights to pollution.........................................................................................8Table 4 Profits when Breadtalk has Right to Clean Air.................................................................................8
Part 1a ) The aggregate damage to both given classes of consumers is 4p2 i.e (p2 + 3 p2). The Aggregatemarginal damage for Young Consumers (Y) is δ/ δ p = 2p eq 1Aggregate marginal damage for Old Consumers (O) is δ/ δ p = 6p eq 2Thus, the aggregate Marginal Damage for Public Bad = eq. 1 + eq. 2 i.e 2p +6pThus, the aggregate Marginal Damage for Public Bad = 8pb) Figure 1: Pollution Level, Marginal Public Damage and Marginal Private SavingsSource: Prepared by Author.2)
End of preview
Want to access all the pages? Upload your documents or become a member.