1. How would your answer to question 1 change if one of the older daughters moved out to live with her biological mother?
If one of the daughter moved in with her biological mother, then the answer provided in question one would still apply. This is because Tula still lives with her step-mother and …show more content…
This is because if the phone is not her property, then she does not have the right to determine what she can do with it. Therefore, the answer provided in question one would not be accurate. This is because, instead of Tula getting paid to stop playing her music out loud, Tula would have to pay her sister to allow her to play her music. Overall, Tula does not hold the right to play her music aloud, therefore it is not efficient for her step-mother to pay her the money, like presented in question one.
3. Read “Mapping Environmental Injustice” in Chapter 6.6 of Real World Micro. Who is more likely to suffer from environmental pollution, richer or poorer communities? How might Coase explain this disparity?
The poorer communities are more likely to suffer from environmental pollution. This can be shown in figure two, when the poor minorities have the highest amount of average industrial and air toxic