A version of this story from USA Today appeared in today's local paper.
A new study suggests that damages from coal ash pollution are worse than we thought. The results are timely as the US EPA is about to begin a series of regional hearings on whether and how to regulate coal ash waste from coal-fired power plants.
Things to think about:
1. The negative externality. Is this a production externality or a consumption externality? Who are the market participants here? Who is on the demand side and who is on the supply side? Who is the third party affected by the externality? Have the health effects been qualified or quantified? Monetized?
2. Standards for pollution control. We'll get to the study of standards soon. For now, consider how and why EPA is considering restrictions. In terms of the 'how', Are limits (standards) on output or limits on technology being proposed? What should be the basis for the determination of acceptable standards? Health? Efficiency? Something else?
3. What are some important research questions related to this issue that would help inform policy?
Related local news here.