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Business, 03.12.2019 01:30 quintonps12

Suppose united states and canada decide to sign the kyoto protocol, by which they commit to reduce their greenhouse gas emissions to a target level of 200 tons of co2each. the marginal cost (in dollars) of abatement for the us is: mcus= 25 + ½*a, where a represents the quantity (in tons) of co2that gets reduced (i. e., abated). canada is less efficient at reducing emissions, and faces a marginal cost (in dollars) of abatement given by: mcca= 15+ (3/2)*a. 1. on the set of axes above with the abatement level on the x-axis and the marginal cost on the y-axis, draw for each country the cost of pollution abatement. carefully label the intercept, and indicate the slope. 2. suppose that the u. s. produces a total of 280 tons co2 emissions per year, while canada emits 260 tons. what is the level of abatement the u. s. needs to comply with to satisfy the kyoto protocol? how about canada? what is the marginal cost paid by us firms to reduce carbon emissions by the targeted amount? what is the marginal cost for canada?

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