Foundations of Economics (8th Edition)
8th Edition
ISBN: 9780134486819
Author: Robin Bade, Michael Parkin
Publisher: PEARSON
expand_more
expand_more
format_list_bulleted
Videos
Textbook Question
Chapter 11, Problem 8MCQ
When ITQs are assigned, the market
A. marginal benefit consumers receive from the fish caught
B. marginal private cost of fishing
C. marginal external cost of fishing
D. marginal
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
What are some economic benefits of aquaculture? What are some negative environmental impacts?
QUESTION 4
Use the table to answer the following question:
Nitrogen
applied
(lbs)
0
25
50
75
100
125
150
175
200
Yield
(bushels)
80
114
138
155
166
172
176
178
179
a. $44/acre
b. $644/acre
c. $60/acre
d. $704/acre
Marginal
revenue
$4.00
4.00
4.00
4.00
4.00
4.00
4.00
4.00
Marginal
cost
$0.29
0.42
0.59
0.91
1.67
2.50
5.00
10.00
Assume nitrogen costs $0.40 per pound, corn price is $4.00 per bushel and all other costs total $600 per acre. At the profit maximizing
amount of output, what is profit per acre?
D Question 7 Noise generated by an airport best illustrates.
market power.
overproduction of private goods.
an externality.
an inequity.
Chapter 11 Solutions
Foundations of Economics (8th Edition)
Ch. 11 - Prob. 1SPPACh. 11 - Prob. 2SPPACh. 11 - Prob. 3SPPACh. 11 - Prob. 4SPPACh. 11 - Prob. 5SPPACh. 11 - Prob. 6SPPACh. 11 - Prob. 7SPPACh. 11 - Prob. 8SPPACh. 11 - Prob. 9SPPACh. 11 - Prob. 10SPPA
Ch. 11 - Prob. 1IAPACh. 11 - Prob. 2IAPACh. 11 - Prob. 3IAPACh. 11 - Prob. 4IAPACh. 11 - Prob. 5IAPACh. 11 - Prob. 6IAPACh. 11 - Prob. 7IAPACh. 11 - Prob. 8IAPACh. 11 - Prob. 9IAPACh. 11 - Prob. 1MCQCh. 11 - Prob. 2MCQCh. 11 - Prob. 3MCQCh. 11 - Prob. 4MCQCh. 11 - A renewable common resource is used sustainably if...Ch. 11 - Prob. 6MCQCh. 11 - Prob. 7MCQCh. 11 - When ITQs are assigned, the market price of an ITQ...
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.Similar questions
- Open access regulations raise the marginal cost of fishing effort and O decreases harvest, increases stock size, and increases rent decreases harvest, increases stock size, but does not increase rent increases harvest, decreases stock size, and decreases rent increases harvest, decreases stock size, but does not increase rentarrow_forward0.90 0.85 0.80 0.75 0.70 0.65 0.60 0.55 0.50 0.45 0.40 50 100 150 200 250 300 What kind of externality is in the market above? a. negative consumption externality b. positive production externality c. positive consumption externality d. negative production externality Demand 350 Supply MSB 400arrow_forwardn order to create more jobs in the region, the local government gave permission to a foreign investor to build a chemical plant not far from a residential area. Analysts predict that real estate prices will drop by 15%15%. Currently, the total value of real estate is $40$40 million.Calculate the potential external cost for the residents in this area of building the chemical plant. Write the exact answer. Do not round.arrow_forward
- c) External costs in T-shirt production According to the World Wildlife Fund (WWF), it takes 2700 litres of water to produce one T-shirt. Water is used not only to grow cotton but also to dye clothing. Cotton growers use pesticides and chemicals that pollute the water. The pesticides and chemicals that remain in the environment harm animals and plant life. The WWF has been working with governments to help reduce this pollution. It advises them to introduce more regulation and to fine companies that pollute. Clothing manufacturers argue that this will add to their costs and mean they will supply less. This may mean they employ fewer people and will help reduce water pollution as less clothing is being manufactured. Fines will punish those that pollute while also earning the government revenue it can use to clean up the pollution. The fines must also be large enough to persuade firms to stop polluting. With reference to the information given in *External costs in T-shirt production' and…arrow_forward1) This _____________ protects the human body from some kinds of the bacteria. Select one: a. disability b. dehydration c. vaccine d. balancearrow_forwardWhat Factors Influence Perfect Competition for Environmental Economic Market Structures. 2. Which Buyers and Sellers Influence Environmental Economic Markets. 3. Externalities in Your Current Home Country Environmental Economic Market. 4. How Governments Address the Existence of Negative Externalities in Environmental Economic Markets. 5. Profitability Associated with Environmental Policy Research.arrow_forward
- Discuss the sources and approaches used by McDonald’s in order to stay abreast of the environmental changesarrow_forwardDiscuss the economic principles of the efficient and sustainable use and harvesting of fishery resources. Then, discuss the economics of fisheries in the context of ‘common pool’ resources and the case of ‘open access’ to these. Use graphs where helpful.arrow_forwardTable 1: Market for Skis P 0 20 40 60 80 Qd 25 20 15 10 5 100 0 Qs 0 4 8 12 16 20arrow_forward
- Marginal Cost and Marginal Benefit Quantity (millions of megawatts) 0.5 1.0 1.5 2.0 2.5 3.0 MB private $130 115 100 85 70 45 MC private $70 75 80 85 90 95 MC external $ $ MC social Instructions: In parts a and b, enter your answers as a whole number. In part c, round your answer to one decimal place. a. What is "private quantity" of electricity Texarkana Electric Company will produce each year? million megawatts per year Now assume the production of electricity also produces sulfur dioxide (a precursor to acid rain). The external cost of the sulfur dioxide increases by $40 for each 0.5 million megawatts produced. b. Fill in the external marginal cost (MC external and the social marginal cost (MCsocial columns in the table above. c. What is the socially optimal amount of electricity for Texarkana to produce if all costs and benefits are considered? million megawatts per yeararrow_forward(Figure: Toxic Waste) From the graph, external cost per ton of toxic waste would be Price ($ per ton) 2222288822 200 180 160 140 120 100 8 80 80 40 20 0 $60. $70. $80. $90. 10 20 30 0 40 50 GO 70 80 90 100 110 120 Quantity (tons of toxic waste)arrow_forward10 talk about dry portsarrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Survey of Economics (MindTap Course List)EconomicsISBN:9781305260948Author:Irvin B. TuckerPublisher:Cengage Learning
Survey of Economics (MindTap Course List)
Economics
ISBN:9781305260948
Author:Irvin B. Tucker
Publisher:Cengage Learning
Environmental Law: The Clean Air Act; Author: LawShelf;https://www.youtube.com/watch?v=1-SH3kJpVA4;License: Standard Youtube License