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Question: release of carbondioxide stored in the quotcarbon sinkquot of the...

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Release of carbon-dioxide stored in the carbon sink of the forest Building of roads by the companies to access timber Question 2: This is about demand for public goods (section 3.2) Adam and Eve live on two sides of the Garden of Eden, a small suburban development. After they move in, an old PCB dump is discovered in between their houses. If X total tons of PCBs are removed from the dump, the two have a true willingness to pay (WTP) to finance a clean-up equal to: ADAMs WTP-10-X EVEs WTP- 6-X a. Adams WTP is higher than Eves. Does this necessarily imply that Eve is less concerned about exposure to PCBs than Adam? Why or why not? b. Draw one diagram illustrating the two individuals demand curves for clean-up, and the total demand for clean-up in the neighborhood. What is the total WTP for 3 tons of clean-up? For 4 tons? c. If cleaning up 2 tons were to cost $12, is the WTP in this small community sufficient to finance it? What are two potential reasons why a voluntary clean-up might nevertheless fail?
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