Describe how a market for externality rights or cap-and-trade system would work in terms of supply and demand
Please provide the best answer for the statement.
A regional government, for example, might proscribe a set amount of air pollution that it would be willing to accept from businesses. If this were the case, the supply curve for the air pollution rights would be perfectly inelastic. The demand curve for air pollution rights would be down sloping and would intersect the supply curve to determine the price for the right to pollute the air in that region. If the demand for air pollution rights increased over time, then the price would rise but the quantity would stay the same.
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What does the deadweight loss from monopoly measure?
What will be an ideal response?
Partial factor taxes are levied on an input in only some of its uses.
A. True B. False C. Uncertain
Suppose we know that 10 Spanish Galleons sunk in the Atlantic ocean carrying approximately 50 tons of gold, but the exact location of these shipwrecks is unknown. Would this gold add to the world reserve?
A) Yes, we know it exists. B) No, we know it exists but we can't extract the gold. C) Yes, it's only a matter of time before the shipwrecks are discovered. D) No, there are no established property rights over the shipwreck so they cannot add to world reserves..
Which of the following statements is not consistent with the "environmental explanation" of wage and productivity?
a. "Women are more likely than men to leave the labor force to care for children and hence acquire less work experience than do men." b. "Blacks and other minorities do not receive, on average, the same quality of education as whites." c. "Boys are more likely than girls to receive moral and financial support from their families to attend college." d. "Employers discriminate systematically against blacks and women."