There Is Concern That CFCs, a Chemical By-Product of Refrigeration

question 87

Essay

There is concern that CFCs, a chemical by-product of refrigeration, are destroying Earth's protective ozone layer, leaving us more vulnerable to cataracts and skin cancer.Suppose each air conditioner creates 10 pounds of CFCs.The demand and supply of air conditioners follow:
$\begin{array}{llllll} \underline{\text { Price (dollars) }} & \underline{ 400 } & \underline{ 350 }& \underline{ 300 } & \underline{ 250 }& \underline{ 200 } \\\text { Quantity demanded } & 10 & 12 & 14 & 16 & 18 \\\text { Ouantity supplied } & 18 & 16 & 14 & 12 & 10\end{array}$
What will be the free market price and quantity, and what will be the price and quantity if the government forces suppliers to pay a $100 tax for each air conditioner produced?

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Definitions:

Face-to-face Contact

A method of communication where individuals interact directly with each other in the same physical space.

Cross-functional Teams

Groups composed of members from different departments or areas of expertise, working together towards a common goal.

Uniqueness Advantage

The competitive advantage gained by a business or product due to being unique or different in a way that is valuable to consumers.

Open Communication

Involves the unrestricted flow of information within an organization, encouraging transparency, facilitating feedback, and fostering a culture of trust among employees and management.