Exam 11: Command-And-Control Strategies: the Case of Standards

A command and control approach to public policy uses _________ in order to bring about socially desirable behavior.

________ set standards that are unrealistic with today's technology in the hope that they will motivate the pollution-control industry to invent ways of meeting the standard at reasonable cost.

Emissions standards do not yield a particular ambient quality due to the interference of ______________.

The Barber, Cosmetology, Esthetics, Hair Braiding, and Nail Technology Act requires hospital grade disinfectant be used at workstations after each client. This is an example of

Refer to the Figure above. Assume that a firm is facing MAC₁ and an emissions standard of e₂. What is the firm's incentive to engage in R&D so that abatement costs are reduced to MAC₂?

Technology standards require the adoption of _______________.

Ambient standards cannot be enforced ___________.

Refer to the Figure above. Suppose that MD_u represents the damages associated with ambient levels of benzene in an urban area and MD_r represents those same damages in a rural area. If the ambient emission standard is set at e_u, the standard yields a (n) _________ level of pollution in urban areas but is unnecessarily ____________ for rural areas.

The socially efficient equilibrium emission standard sets the maximum rate of emissions equal to the ________.

Refer Table 1 above. The table reveals the marginal abatement costs of three firms related to the quantity of emissions. Each firm is now emitting 10 tons/week, so total emissions are 30 tons/week. Suppose we wish to reduce total emissions by 50 percent, to 15 tons per week. What is the cost of this reduction via the equimarginal principle?

__________________ is one that reduces each source by the same percentage of its original.

Emission standards are a type of ________ because they refer to end results that are meant to be achieved by the polluters being regulated.

Under ________ the burden is on the ________ to make the right decision about what technology to use.

Ambient quality of river water depends on ____________.

The Massachusetts Department of Environmental Protection has banned the disposal of commercial organic waste by businesses and institutions that dispose of one ton or more of the materials per week. This is an example of

If an emission standard is set to the left of the socially efficient point of emissions, the result will be a socially inefficient level of pollution and _________ will be greater than __________.

There are several ways to monitor a firm's emissions, included among these are

A(n) ________________ sets a constraint on some performance criterion and allows the polluter to choose how to meet that criterion while a(n) _________________ dictates techniques to be used by the polluter

The World Health Organization sets guidelines for exposure to carbon monoxide at a 10ppm or less average over 8 hours. This is an example of

Refer to the Figure above. Assume that a firm is facing MAC₁ and an emissions standard of e₂. What is the firm's cost of compliance for this level of emissions?