ECON 260 Lecture Notes - Marginal Cost

150 views9 pages

blackhamster598

5 Oct 2012

School

Simon Fraser University

Department

Economics

Course

ECON 260

Professor

Chris Bidner

For unlimited access to Class Notes, a Class+ subscription is required.

Document Summary

Standards: standards are a government designed or centralized policy, emissions standard = a maximum rate of emissions legally allowed. standard. E: firms pay tac only, called the compliance costs, violators are fined. Types of standards: ambient standards = maximum levels of pollutants in the ambient environment, generally set as monthly or yearly averages, e. g. Average so2 levels should not exceed 23 parts per billion each year: emissions standards = maximum emissions from specific sources, e. g. limits on g/hour, total per unit of output, or concentrations per unit of input, e. g. Air care: technology standards = a certain technology is required by law, e. g. California: can also be design or engineering standards, product or input standards, e. g. unleaded gasoline. 3: or the government could define a maximum amount of total damages, then the emissions depend on the marginal damages. Mdr = 0. 25e and an urban area has mdu = 0. 5e.

Related Questions

Your response should be approximately 750 words (2.5 to 3 pages in length).

In the Clean Air Act as amended, Congress allowed California, which has serious problems with air quality, to adopt its standards for emissions from cars and trucks, subject to the approval of the Environmental Protection Agency (EPA) according to certain standards. The Act also allowed other states to adopt California's standards after EPA approval.

In 2004, California adopted emissions standards for all new passenger vehicles and light-duty trucks sold in California beginning in 2009. The standards imposed decreasing limits on emissions of carbon dioxide and other greenhouse gases (GHG) through 2016.

While EPA approval was pending, other states adopted the California standards. A group of industry associations, automakers, and new car dealerships filed suit to block state adoption of the standards (including California).

(a) Under the Environmental Policy and Conservation Act (EPCA), a designated federal agency sets fuel economy standards for new cars. The plaintiffs argued, among other things, that the EPCA, which explicitly prohibits states from adopting separate fuel economy standards, preempts states from adopting their emission standards. Is the plaintiff's argument valid? Discuss.

(b) Do the state emissions rules impose on the efforts of the federal government to address global warming internationally? Who should regulate GHGs, the states or the federal government? Both? Neither? Discuss.

(c) The plaintiffs also argued that they would go bankrupt if they were forced to adhere to a different GHG standard for each state. Should they be granted relief on this basis? Does history support their claim? Discuss.

plumdonkey692

In the Clean Air Act as amended, Congress allowed California, which has serious problems with air quality, to adopt its own standards for emissions from cars and trucks, subject to the approval of the Environmental Protection Agency (EPA) according to certain standards. The Act also allowed other states to adopt California's standards after EPA approval.

a) Under the Environmental Policy and Conservation Act (EPCA), a designated federal agency sets fuel economy standards for new cars. The plaintiffs argued, among other things, that the EPCA, which explicitly prohibits states from adopting separate fuel economy standards, preempts states from adopting their own emission standards. Is the plaintiffs' argument valid? Discuss.

b) Do the state emissions rules impose on the efforts of the federal government to address global warming internationally? Who should regulate GHGs, the states, or the federal government? Both? Neither? Discuss.

c) The plaintiffs also argued that they would go bankrupt if they were forced to adhere to a different GHG standard for each state. Should they be granted relief on this basis? Does history support their claim? Discuss.

periwinklewalrus620

4. For a pollutant like lead, which causes health effects to local residents even at very low levels, which regulatory approach would be most effective for eliminating any health threats?

a. Emissions standards

b. Tradable permits

c. Pollution taxes

d. Pollution subsidies

ECON 260 Lecture Notes - Marginal Cost

Document Summary

Get access

Related Documents

ECON 2J03 Lecture Notes - Lecture 11: Biochemical Oxygen Demand, Emission Standard

EC238 Chapter Notes - Chapter 11: Canadian Environmental Protection Act, 1999, Emission Standard, Practical Reason

EC238 Lecture Notes - Lecture 4: Total Maximum Daily Load, Environmental Policy, Essar Steel Algoma

Related Questions