When toyota owners began to report problems with sticking accelerator pedals and nonfunctioning brakes, toyota at first ignored or rejected the claims. eventually, the company evaluated the issue and issued a recall. which of the four steps of the ethical decision-making framework was toyota performing when it recalled several of its models? a. when using the ethical decision-making framework, the first step is to identify the issues. b. the next three steps are to gather information, brainstorm/evaluate alternatives, and finally to choose a course of action. c. toyota, in its recall, had chosen a course of action.

4. suppose that pollution in a neighborhood comes from two factories, with marginal benefit curves given by mb1 = 12 – p1 and mb2 = 8 – p2. the level of pollution in the neighborhood is given by p = p1 + p2. the government wants to limit pollution by instituting a pollution-rights market. the government’s desired level of p is 10, so it prints 10 pollution rights and offers them for sale to the firms. a)find the equilibrium selling price of a pollution right, as well as the allocation of rights (and hence pollution levels) across the two factories. b)repeat part (a) for the case where the government’s desired level of pollution equals 14. c)comment on the usefulness of a pollution rights market in achieving efficient levels of pollution abatement.