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Suppose there is a river on which are located several micro-beweries, each of which discharges pollutants into the water. suppose somebody invents a new technology for treating this waste stream that, if adopted by the breweries, could substantially diminish emissions. what are the impacts of this invention on; the actual level of emissions

Respuesta :

The actual level of emission done prior was adversely effecting the environment is discharged sent to sea was not may properly treated but however with the better Technology the discharged now is being so treated so environment will not be damaged as such

a) Though both are almost also similar but as asked the ACTUAL LEVEL OF EMISSION done on prior will be seen so the upper graph the shaded area on the right depicts ,the higher the pollution level ; i.e. when the water was about not treated before discharging to the polloution level was on right of e* on X axis that actually shows more of emission as we go farther on that axis

However when there is Technology improves ,the IMPACT IS - the equilibrium will move be back to E on e* which is the optimum or Efficient level of emission as to marginal cost and also the  benefit intersect here as better technology has to reduced the income level was now treated water in discharged : in lower graph E is equilibrium of Efficient level of emission at e*

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