Suppose Michigan's NO_X abatement standard for existing (E) sources is 4 units and the EPA's standard for new (N) sources is 10 units and that MAC_E = 1.8A_E and MAC_N = 1.2A_N. To meet the same combined abatement level of 14 but in a cost-effective manner, the standards for each should be A) A_E = 7; A_N = 7 B) A_E = 4.8; A_N = 7.2 C) A_E = 5.6; A_N = 8.4 D) none of the above

Question

Quizplus · Accepted Answer

To minimize costs, the marginal abatement costs (MAC) should be equalized. Setting MAC_E = MAC_N, we get 1.8A_E = 1.2A_N. Solving this with A_E + A_N = 14 gives A_E = 5.6 and A_N = 8.4.

Suppose Michigan's NOX Abatement Standard for Existing (E) Sources Is

Suppose Michigan's NO_X Abatement Standard for Existing (E) Sources Is