(5) Suppose that an efficient transferable emissions permit regulatio

(5) Suppose that an efficient transferable emissions permit regulation is imposed on the situation described by the graph below. What is the aggregate value of emissions permits? Under what circumstances does this value accrue to the pollution sources? Under what circumstances does this value accrue to the government? Briefly describe what economists think is the most efficient use of this value. [4 points) (S) Aggregate Marginal Abatement Costs Aggregate Marginal Damage Aggregate Emissions

regulatio