9) A regulation was applied to reduce SO, on national level. The researchers evaluated MCC and MD…

30 Apr 9) A regulation was applied to reduce SO, on national level. The researchers evaluated MCC and MD…

Posted at 20:05h in Uncategorized by Exams

9) A regulation was applied to reduce SO, on national level. The researchers evaluated MCC and MDC. functions for the pollutant: MCC 72-SE, MDC – 4E. (20 p) The table shows the emissions of two sources and the marginal abatement costs (MCC 1,000/week) Emissions, tons/week MCC: Source MCC: Source 2 0 2 3 4 5 6 8 10 14 24 0 24810 14 20 25 31 38 58 Suppose that initially each source is emitting at the uncontrolled level (10 tons a week) so total emissions are 20 tons. Now assume that we want to reduce overall emissions to half the present level, or a total of 10 tons a week. There are two ways to allocate emission control. a. Calculate the total costs of decreasing emissions equiproportionally (each source reduces by 50 percent). (8 p) Calculate the total costs with a decrease that meets the equimarginal principle. b. (8 p) c. Which principle is better for society and why? (4 p)

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