b. Suppose the firms can buy and sell these rights. How much of the chemical will...
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b. Suppose the firms can buy and sell these rights. How much of the chemical will Gene's Gloves dump into the lake? How much will one firm pay the other for the right to dump I gallon of the chemical into the lake? The number of gallons and price will be 15,000 gallons, between $1 and $3 O 5.000 gallons, no trade will occur 0 gallons, more than $3 10,000 gallons, less than $1 10,000 gallons, between $1 and $3 5,000 gallons, $2 Incomect If the firms can buy or sell these rights, what is the total cost to both firms for complying with the regulation? 45000 Total cost: $ coect b. Suppose the firms can buy and sell these rights. How much of the chemical will Gene's Gloves dump into the lake? How much will one firm pay the other for the right to dump I gallon of the chemical into the lake? The number of gallons and price will be 15,000 gallons, between $1 and $3 O 5.000 gallons, no trade will occur 0 gallons, more than $3 10,000 gallons, less than $1 10,000 gallons, between $1 and $3 5,000 gallons, $2 Incomect If the firms can buy or sell these rights, what is the total cost to both firms for complying with the regulation? 45000 Total cost: $ coect
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