Consider the market as represented by [Me following supply and demand equations for the market for coal-powered electricity. P=62-20 P=2+40 Where price is in dollars and quantity is in terms of gWh of energy. Suppose that at the private equilibrium, the total external (pollution) cost to society is $120, with a total of 200 tonnes of GHG being released into the atmosphere. . . . Has this market failed - why or why not? What is the Marginal External Cost of Pollution? What is the amount of pollution per gWh produced? Determine the socially optimal level of production in this market - Display on a graph. What are the optimal levels of pollution and pollution abatement in this market? If we were to want to implement a carbon tax - what would be the amount of the carbon tax? If we were to want to implement a cap and trade program - what would be the capped level of abatement required for the industry? . You must start a thread before you can read and reply to other thread Consider the market as represented by [Me following supply and demand equations for the market for coal-powered electricity. P=62-20 P=2+40 Where price is in dollars and quantity is in terms of gWh of energy. Suppose that at the private equilibrium, the total external (pollution) cost to society is $120, with a total of 200 tonnes of GHG being released into the atmosphere. . . . Has this market failed - why or why not? What is the Marginal External Cost of Pollution? What is the amount of pollution per gWh produced? Determine the socially optimal level of production in this market - Display on a graph. What are the optimal levels of pollution and pollution abatement in this market? If we were to want to implement a carbon tax - what would be the amount of the carbon tax? If we were to want to implement a cap and trade program - what would be the capped level of abatement required for the industry? . You must start a thread before you can read and reply to other thread