Suppose there is substantial variation in air quality within an urban area. If people are aware of both the nature of pollution damages and the air quality at each location, will the resource misallocation be less severe or more severe than if the same average air quality were distributed uniformly everywhere? (Hint: If people are affected differently, with some greatly damaged and some harmed very little, will the bidding in land markets reduce external damages by, in effect, partly converting a public good to a private good?)