1. Benefits, costs WTP – demand Benefit – area under the curve Opportunity Cost Marginal Cost Equimarginal cost

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7. Economic Effficiency Efficiency Equity Market system Social cost – External cost Public goods – Private cost

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11. Economics of “Quality” Pollution control – Damage function Pollution categories – source, dispersion Ambient, emissions – Abatement cost function “Socially efficient” level of pollution!

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