Concept 1: Foundations of Economics
Compute the private versus social costs of a TEP system that initially auctions permits. Contrast this outcome with your solutions to question 1 and explain why any differences occur. 3. Two polluting firms can control emissions of a pollutant by incurring the following marginal abatement costs: MAC1 = $300 – 10E1 and MAC2 = $90 – 5E2. ................
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