VIDEO Q&AExternalities
Introduce the concept of externalities.
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Lessons & Activities
31-45 min
Supply and Demand of Pollution
OVERVIEW
The lesson shows students how basic supply and demand concepts can be used to analyze the effects of an emissions tax or a cap and trade system. Using supply and demand illustrates how markets can be used to allocate the amount of pollution released into the environment.
More in This Series
CURRICULUM UNITS
Saving the Environment with Economic Ideas
Learn and analyze how economics plays a role in developing ideas and solutions to save the environment.
LESSONS & ACTIVITIES
1 HOUR+
Water Rights: Managing the Colorado Water System
Define allocation, scarcity, and value thorugh an active simulation.
LESSONS & ACTIVITIES
31-45 MIN
Property Rights
Illustrate the Coase Theorem using a lake-pollution activity.
LESSONS & ACTIVITIES
31-45 MIN
Marginal Analysis: How Clean Is Clean Enough?
Illustrate marginal cost of cleaning up pollution.
LESSONS & ACTIVITIES
31-45 MIN
The Emissions Simulation
Define emissions tax and tradable permit system.
LESSONS & ACTIVITIES
46-60 MIN
Green Is the New Gold
Understand factors of production and analyze businesses production processes.
