Suppose Fischer Pond is a common-property resource—anyone can fish without having to pay for access. Locke Lake is privately owned—people who want to fish must purchase one of a limited number of permits from the lake's owner each season. According to the incentives that private ownership creates, which of the following would you expect to happen?     Check all that apply. The owner of Locke Lake is likely to keep the lake clean and unpolluted.   The owner of Locke Lake is likely to limit the number of fishing permits in order to maintain a plentiful stock of fish.   Fischer Pond is less likely to experience a dwindling stock of fish each season.

Consider a lake found in the town of Center Barnstead, and then answer the questions that follow. The town has a campground whose visitors use the lake for recreation. The town also has a fish cannery that dumps industrial waste into the lake. This pollutes the lake and makes it a less desirable vacation destination. That is, the fish cannery's waste decreases the campground's economic profit.        Suppose that the fish cannery could use a different production method that involves recycling water. This would reduce the pollution in the lake to levels safe for recreation, and the campground would no longer be affected. If the fish cannery uses the recycling method, then the fish cannery's economic profit is $1,500 per week, and the campground's economic profit is $1,800 per week. If the fish cannery does not use the recycling method, then the fish cannery's economic profit is $2,000 per week, and the campground's economic profit is $1,000 per week. These figures are summarized…

Environmentalists in Tennessee brought suit against the Champion Paper Company of North Carolina for polluting the Pigeon River, which flows from North Carolina into eastern Tennessee. Tennessee claimed that the coffee-colored water smelled bad and would not support fishing or swimming. Environmentalists requested that the river be restored to its pristine state, or the water quality it had before the coming of industry. The Environmental Protection Agency (EPA) heard the suit and applied an efficiency standard. In other words, the EPA set limits on how much pollution the paper company could release (though this number was not zero). Adjust the following graph to indicate the negative externality. PRICE (Dollars per sheet) 2 1 10 9 Supply Demand 8 0 0 1 2 Demand 7 9 10 5 3 4 QUANTITY (Sheets of paper) Supply When the EPA imposes standards on the paper company, the quantity of paper produced will company will . The new equilibrium price is $ , and the price of paper from this per sheet…

B) In his State of the Union address in 2003, President Bush supported the idea of changing from the use of internal combustion engines to fuel cells based on hydrogen as a way of reducing air pollution and the emission of greenhouse gases. Fuel cells are nonpolluting because they only emit water vapor. President Bush proposed having the government subsidize research and development of hydrogen fuel and fuel cell technology. The president did not propose raising taxes on gasoline as a way of encouraging the use of fuel cells and reducing greenhouse gases. Currently, hydrogen is more expensive than gasoline.

Consider a river found in the city of Philadelphia, and then answer the questions that follow. The city has a resort whose visitors use the river for recreation. The city also has a tannery that dumps industrial waste into the river. This pollutes the river and makes it a less desirable vacation destination. That is, the tannery's waste decreases the resort's economic profit. Suppose that the tannery could use a different production method that involves recycling water. This would reduce the pollution in the river to levels safe for recreation, and the resort would no longer be affected. If the tannery uses the recycling method, then the tannery's economic profit is $1,500 per week, and the resort's economic profit is $1,800 per week. If the tannery does not use the recycling method, then the tannery's economic profit is $2,000 per week, and the resort's economic profit is $1,000 per week. These figures are summarized in the following table. Complete the following table by computing…

That the free flow of goods and capital creates economies of scale is not necessarily a good thing. Economies of scale encourage increased production which can lead to significant externalities, like pollution. Please provide a counter argument for the above statement

Global warming is mainly caused by Greenhouse gas (GHG) (i.e., CO2) emission. Aiming to be carbon neutral by 2060, China starts penalizing the polluting firms by introducing a specific tax to those firms. (Source: https://www.nature.com/articles/d41586-020-02927-9)Suppose you are the owner of a profit-maximizing firm in China that produces goods with carbon emission. The specific tax (with tax rate t) is imposed in proportion to the quantity of your firm’s output (q). The market of your firm’s product is assumed to be perfectly competitive. Assume there is no fixed cost: use a fully labelled diagram to show the effect of the tax on the cost curves, and briefly discuss the movement of the curves. (10 marks) Suppose China government decides to raise the tax rate. Discuss the impact of the rise on your firm's output level with economic models wherever necessary. (20 marks)

Three neighboring towns – Marshland, Dampland, and Wetland – all border the           same lake.  The lake frequently floods causing damage to property in all three           towns.  Each town would benefit from flood mitigation, but the level of benefits           differs.  With Z representing the level of mitigation:     for Marshland, MB = 3 – Z     for Dampland, MB = 4 – 2Z     for Wetland, MB = 11- Z            The marginal cost of flood mitigation is MC = 2 + 12Z Questions:                                    ***Please Note***  Previous Expert Calculated:     Z = 16/3 as the Solution to (a)        Math Solver Calculates:     Z = 1                                    ***Please Resolve*** (a)  What is the socially optimal level of Z?                      (b)  What would each individual town be willing to pay for this level of flood mitigation? (c)   The representative from Wetland proposes that each town pay an equal share for the optimal level of flood          mitigation.  Would…