Exam (elaborations)
ECS3704 Assignment 1 (Detailed Answers) Semester 2 - Due August 2024
- Course
- Institution
ECS3704 Assignment 1 (Detailed Answers) Semester 2 - Due August 2024
[Show more]
Seller
Follow
StudentGyde
Reviews received
Content preview
ECS3704ASSIGNMENT 1 (SEMESTER 2)
DUE DATE: August 2024
Written Assignment Submission Guidelines:
Please ensure that your assignment is submitted electronically through the myUnisa platform no
later than …August 2024. Kindly note that fax or email submissions will not be accepted.
NB: Assignment submitted to the lecturer(s) through email will not be considered.
QUESTION 1
ANSWER:
Analysis of Government Intervention in Pollution Created by Steel Production
1. Market Failure Due to Externalities
Steel production often leads to significant pollution, including air and water contamination. This
pollution is a classic example of a negative externality, where the social cost of production exceeds
the private cost. In a free market, firms producing steel might ignore the external costs (e.g., health
issues, environmental degradation) that their pollution imposes on society. This leads to
overproduction of steel and more pollution than is socially optimal.
Diagram Explanation (CHOOSE ONLY ONE FROM THE TWO PROVIDED DIAGRAMS)
To illustrate this concept, we can use a basic supply and demand diagram:
• X-axis: Quantity of Steel Produced
• Y-axis: Price/Cost
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller StudentGyde. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $2.95. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
76800 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now