Which of the following are correct about carbon regulations. Please check all that apply. Firms generally prefer cap and trade programs (compared to carbon tax) due to cost certainty. Environmentalists typically prefer a cap and trade program (compared to a carbon tax) due to benefits certainty. A cap and trade program regulates all firms selling services to other firms and/or consumers. A carbon tax program impacts all fossil fuel consumers. A carbon tax only impacts the heavy emitters, such as utilities, cement manufacturers, paper manufacturers, etc.

Explain the difference between regulating emissions via fees vs. standards. Which of the two would be more efficient if there are large differences between the firms’ marginal costs of abatement.

Suppose you want to put a dollar value on the external costs of carbon emissions from a power plant. What information or data would you obtain to measure the external (not social) cost?

Imagine that in the state of California a chemical producing firms has a marketable permit that allows 800 tons of emissions. However, the marketable permit is shrinkable, and the firm will only be allowed 400 tons of emissions next year. The chemical producing firm estimates that its actual emissions next year will be 500 tons.  Which of the following actions would be in the best interest of the chemical producing firm? Group of answer choices sell a marketable permit allowing for 100 tons of emissions not to buy or sell a marketable permit buy a marketable permit allowing for 100 tons of emissions buy a marketable permit allowing for 500 tons of emissions

Economics MPB (Marginal Private Benefit) =20-4Q (like a Demand Equation). MPC (Marginal Private Cost) = 4+2Q (like a Supply Equation). MEB (Marginal External Benefit) = 0 (an external benefit is a positive externality). MEC (Marginal External Cost) = 0.5Q(an external cost is a negative externality). Suppose Power for Health Earth owned the rights to pollute the atmosphere of the City of Atlanta, and it is negotiating with concerned residents willing to pay the company (Great Power) to produce less coal energy. For the 8th unit of coal energy, determine the range within which payment would be acceptable to Great Power and the concerned residents. %3D 1.) Show the following in the graph: a. the 8th unit b. the unit price Great Power would take c. the unit price the concerned residents would раy PLEASE HELP