Chapter 12: Problem 34
Is zero pollution an optimal goal? Why or why not?
Chapter 12: Problem 34
Is zero pollution an optimal goal? Why or why not?
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Get started for freeSuppose 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?
Consider two ways of protecting elephants from poachers in African countries. In one approach, the government sets up enormous national parks that have sufficient habitat for elephants to thrive and forbids all local people to enter the parks or to injure either the elephants or their habitat in any way. In a second approach, the government sets up national parks and designates 10 villages around the edges of the park as official tourist centers that become places where tourists can stay and bases for guided tours inside the national park. Consider the different incentives of local villagers—who often are very poor—in each of these plans. Which plan seems more likely to help the elephant population?
What are the economic tradeoffs between low- income and high-income countries in international conferences on global environmental damage?
How can high-income countries benefit from covering much of the cost of reducing pollution created by low-income countries?
What is an externality?
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