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Unformatted text preview: from ambient pollution at receptor j * Indicates value at interior solution(s) Firstorder condition for case of one source, one receptor Firstorder conditions for case of two sources, one receptor Firstorder conditions for case of I sources, J receptors) Firms behavior when facing a fee (or permit cost) of p i per unit of emissions We showed before that when facing when facing a fee (or permit cost) of p i per unit of emissions, the firm will choose M i such that B i (M i ) = p i (assuming B i (M i ) is a strictly decreasing function of M i ) (picture) Numerical example with two sources, two receptors Suppose d 11 = 2 d 12 = 4 d 21 = 3 d 22 = 2 MD j (A j ) = A j for j = 1 and 2 MB(M i ) = a bM i = 344 7M i for i = 1 and 2...
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 Spring '08
 SHAWHAN,D.

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