Suppose that elk hunting permits are sold in a competitive market by landowners who own property where elk reside, and one permit is required to harvest each elk. The demand curve for elk hunting permits is p=180-0.5q . The total cost to the landowners of allowing q elk to be harvested on their properties is C(q)=0.125q^2 . Draw a graph depicting this scenario. 2. Now assume there also is an amenity value associated with the presence of elk in the forest for wildlife watching and ecosystem health. This is a benefit that accrues to the public at large, not only to the elk hunters or property owners. The external benefits from having Q elk remaining in the forest after each hunting season is 50Q . There are Q0 elk in the forest at the beginning of each hunting season, so Q=Q0-q . Draw a graph depicting this scenario.
1.Suppose that elk hunting permits are sold in a competitive market by landowners who own property where elk reside, and one permit is required to harvest each elk. The demand curve for elk hunting permits is p=180-0.5q . The total cost to the landowners of allowing q elk to be harvested on their properties is C(q)=0.125q^2 . Draw a graph depicting this scenario.
2. Now assume there also is an amenity value associated with the presence of elk in the forest for wildlife watching and ecosystem health. This is a benefit that accrues to the public at large, not only to the elk hunters or property owners. The external benefits from having Q elk remaining in the forest after each hunting season is 50Q . There are Q0 elk in the forest at the beginning of each hunting season, so Q=Q0-q . Draw a graph depicting this scenario.
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