Log out Go to App
Go to App

Learning Materials

Features

Discover

Chapter 31: Q.19 (page 708)

Explain why 100 per cent air cleanliness is not optimal.

Short Answer

Expert verified

The socially ideal degree of contamination or level of air tidiness happens where the marginal cost of contamination decrease is equivalent to the marginal cost of contamination reduction

Step by step solution

01

Introduction

The socially helpful degree of contamination or clear air is given where the marginal benefit is equivalent to the marginal cost. As it is difficult to live in a too messy climate, having a too spotless environment is likewise unrealistic. Contamination can never be headed to anything.

02

Explanation

A100 level of air neatness would infer a no level of contamination. In the event that we attempt to accomplish a 100% level of air neatness, this would imply that the cost of this decrease in contamination surpasses the benefit from this decrease. Hence, it isn't practical to have a 100%level of air tidiness. In addition, our normal framework has the ability to acclimatize some level of contamination. Subsequently, some level of contamination is dependably ideal.

Unlock Step-by-Step Solutions & Ace Your Exams!

  • Full Textbook Solutions

    Get detailed explanations and key concepts

  • Unlimited Al creation

    Al flashcards, explanations, exams and more...

  • Ads-free access

    To over 500 millions flashcards

  • Money-back guarantee

    We refund you if you fail your exam.

Start your free trial

Over 30 million students worldwide already upgrade their learning with Vaia!

One App. One Place for Learning.

All the tools & learning materials you need for study success - in one app.

Get started for free

Most popular questions from this chapter

The following table gives hypothetical annual total costs and total benefits of maintaining alternative populations of Asian elephants.

a. Calculate the marginal costs and benefits, and draw marginalbenefit and cost schedules.

b. Given the data, what is the socially optimal world population of Asian elephants?

c. Suppose that two events occur simultaneously. Technological development allows machines to do more efficiently much of the work that elephants once did, which reduces by \(10million the marginal benefit of maintaining the elephant population for each 7500increment in the elephant population. In addition, new techniques for breeding, feeding, and protecting elephants reduce the marginal cost by\)40million for each 7500increment in the elephant population. What is the new socially optimal population of Asian elephants?

Explain why a society usually would not determine that a degree of 0 per cent air cleanliness is optimal.

Who ultimately pays to address costs of negative externalities created by government agencies such as the EPA when they accidentally release pollutants into the environment?

The market price of insecticide is initially \(10 per unit. To address a negative externality in this market, the government decides to charge producers of insecticide for the privilege of polluting during the production process. A fee that fully takes into account the social costs of pollution is determined, and once it is put into effect, the market supply curve for insecticide shifts upward by \)4 per unit. The market price of insecticide also increases, to $12per unit. What fee is the government charging insecticide manufacturers?

The following table displays hypothetical annual total costs and total benefits of conserving wild tigers at several possible worldwide tiger population levels.

a. Calculate the marginal costs and benefits.

b. Given the data, what is the socially optimal world population of wild tigers?

c. Suppose that tiger farming is legalized and that this has the effect of reducing the marginal cost of tiger conservation by $15million for each 2,000-tiger population increment in the table. What is the new socially optimal population of wild tigers?
See all solutions

What do you think about this solution?

We value your feedback to improve our textbook solutions.

Study anywhere. Anytime. Across all devices.

Sign-up for free