Business, 24.03.2020 02:34 leahmitch612

Suppose two utilities, People's Electric and Municipal Energy, each produce 600 tons of pollution per year. The government has a goal of eliminating half the pollution, and, in turn, provides 300 pollution permits to each utility. A pollution permit is required to legally produce a ton of pollution. However, the two utilities are allowed to trade permits. Suppose the cost of eliminating one ton of pollution for People's Electric is $100 and the cost of eliminating a ton of pollution for Municipal Energy is $550.

The total cost of each utility eliminating 300 tons of pollution is $ . (Enter your response as a whole number.)

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Suppose two utilities, People's Electric and Municipal Energy, each produce 600 tons of pollution pe...