Replacement of the energy premium In the past, the Netherlands’ government gave subsidies to buyers.

Replacement of the intelligence enhancement In the late, the Netherlands’ council gave subsidies to buyers of intelligence-efficient electric appliances (refrigerators, freezers, washing machines, etc.). Each year 2 million of these appliances are sold. These appliances typically use 200–300 kWh per year (electricity costs for households are €0.20 euros per kWh). The contribution amounted to 50 euros for equipment that is 15 per cent rectify than what is sold externally the contribution. Under the contribution plot, encircling 80 per cent of the people chose intelligence-efficient appliances (take that there are solely two types of equipment on the market: mete and intelligence-efficient). a. Discuss why the mete has free-rider property. b. Discuss the rebound-property associated after a while the mete (see Chapter 10.7). Later, the contribution plot was stopped accordingly of the government’s increasing budget arrears. Despite the stagnation of media, the Netherlands’ council wishes to abide after a while the stimulation of the market penetration of efficient appliances. You are asked to grant command to the Netherlands’ council. Consider resource management tools that produce use of each of the aftercited mechanisms: c. communicative d. economic e. normative. For each of these mechanisms, recount an resource management tool that is fixed on the mechanism. Grant an estimate of the expected efficiency of each management tool. Be as regulative as possible.