Which of the following is an advantage of tradable pollution permits?
a. Each firm is allowed to pollute exactly the same amount.
b. Revenue from the sale of permits is greater than revenue from a corrective tax.
c. The initial allocation of permits to firms does not affect the efficiency of the market.
d. Firms will engage in joint research efforts to reduce pollution.
c
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The table above gives the supply and demand schedules for scooters. Because of increased injuries sustained by children riding scooters, Citizens Against Scooter Accidents successfully lobbies the government to impose a price floor of $80
00 on scooters. a) What is the quantity demanded and supplied after the price floor has been imposed? b) Is there any shortage or surplus at this price floor? If so, how much? c) If the price floor is raised to $110.00, what is the quantity demanded and supplied? d) At a price floor of $110.00, is there any shortage or surplus? If so, how much?
A good that is both rival and exclusive is called
a. a private good b. a public good c. a quasi-private good d. an external good e. an open access good