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suppose the government cant accurately measures and monitor the pollution emissions from each polluter but it...

suppose the government cant accurately measures and monitor the pollution emissions from each polluter but it knows the marginal damages per unit pollution are constant     and these are relatively constant
what policies would you recommend that the government implement ? explain why

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Answer: Q1. There are two firms responsible for pollution in the river. Each firms demand curve is P-10-О And Marginal cost fb) Without govemment intervention, Industry produces at optimum level where MB-MC From inverse demand function, the marginalThe optimal quantity of output firm B is MR MC 10-20 2+0 30-8 Thus, the firm As optimum output is-, and total wastes produce

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