Question

In: Economics

Imagine you have been asked to complete a benefit-cost analysis of the emissions-testing program for cache...

Imagine you have been asked to complete a benefit-cost analysis of the emissions-testing program for cache County. This program requires that all cars be tested to ensure they meet emissions standards. In order to measure the impact, all of the impacts, both good and bad, should be identified. For this question, make a list of all the costs associated with the program. Be specfic as you can. Repeat exercise for the benefits.

Solutions

Expert Solution

All vehicles registered in cache country with model years less than six years old are required to have an emission test once every two years .Vehicles less than two years old ,based up on the model year, are exempt from the requirement to obtain an emissions inspection.

An exhaust gas analyser or exhaust carbon monoxide analyser is an instrument for the measurement of carbon monoxide among other gases in the exhaust, caused by an incorrect combustion ,the Lambada coefficient measurement is the most common.

Exhaust gas emission testing is a process where test equipment is used to measure the gases produced by a cars engine .a probe is placed in the tailpipe of the car and exhaust gases are measured following strict procedure. The exhaust gas analyser is used for measuring 4 gases ,oxygen, carbon dioxide, carbon monoxide and hydrocarbons as well as calculating lambda a measure of air /fuel ratio. These measurements together provide a very accurate way of measuring the combustion efficiency of an engine.

· A maximum fee for inspection would be set by the board of Health and approved by the council’s intent being that the fee “ be as low as possible , while still maintaining the financial viability of the program.

· The draft ordinance also notes that a maximum repair cost would be established by the board and exact figure is not stipulated.

· Finally ,the council is now considering reimplementation the Air pollution control fee to $3 that would be paid at the time of vehicle registration ,if enacted the fee would be used to fund the administration of the emission and maintenance program.

· Also included in the draft ordinance is some language that may not ultimately be approved by the council .This involves allowing part of the APC fee is to be used to help defray repairs costs for vehicles owners for whom repairs costs would impose an undue hardship.

· One more thing they do with the car that is they almost invite a lot of bad cars to come to our country so they can pay their repair.


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