Public econ2

If we use this tool, we could get this problem:

polluterts can pay money and continue to pollute. It is

• Subsidy

• Tax

• Standards

• Marketable permits

If we use this tool, we could get this problems:

•Government expenditures

overproduction. It is

• Subsidy

• Tax

• Standards

• Marketable permits

If we use this tool, we could get this problems:

Difficult to determine the optimal size

No incentive for decreasing pollution in the short run. It is

• Subsidy

• Tax

• Standards

• Marketable permits

Take an example of abatement of pollution by standards for two factoris: old and new. According to the figure MC1 (red line) is

• costs of factory with old thechnology

• costs of factory with new thechnology

• Government costs

Blue triange is

• External Costs

• additional expenditures (losses) connected with the unified standard

• unreceived benefits connected with the unified standard

Yellow triange is

• External Costs

• additional expenditures (losses) connected with the unified standard

• unreceived benefits connected with the unified standard

Take an example of abatement of pollution by standards for two territories: urban and agrarian. MB2 (green line) is

• Benefits for the government

• Benefits for urban territory

• Benefits for agrarian territory

Yellow triange is

• External Costs

• additional expenditures (losses) connected with the unified standard

• unreceived benefits connected with the unified standard

Red triange is

• External Costs

• additional expenditures (losses) connected with the unified standard

• unreceived benefits connected with the unified standard