Suppose you are studying the recent rise in shale energy, Business Economics

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Suppose you are studying the recent rise in shale energy

Suppose you are studying the recent rise in shale energy. You know the inverse private demand function for shale energy is P = 100 - Q_d. The private supply of shale energy is P = Q_s. However, shale energy can potentially lead to pollution. The marginal social cost curve is equal to P = 3Q_s.

What is the socially optimal tax on private supply?

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Business Economics: Suppose you are studying the recent rise in shale energy

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Business Economics: Suppose you are studying the recent rise in shale energy

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