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Assume Granite City Steel produces by using 2 inputs, low grade coal (which increase pollution), and clean burning natural gas in its smelters.Show using isoquant
Assume Granite City Steel produces by using 2 inputs, low grade coal
(which increase pollution), and clean burning natural gas in its smelters.Show using isoquant analysis: a.that the government can both reduce pollution and increase natural gas usage by either: (separate graphs) placing a tax on coal or subsidizing natural gas b.Assume society was faced with a period significant inflation which increased the price of both natural gas and coal.Show with isoquant analysis how this would affect Granite City Steel. (Separate from "a")(6 points)
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