Consider an air basin with only two consumer, Huck and Matilda. Suppose Huck’s demand for air qua… 1 answer below »

Consider an air basin with only two consumer, Huck and Matilda.
Suppose Huck’s demand for air quality is given by q_h=1-p where p
is Huck’s marginal willingness to pay for air quality. Similarly,
Matilda’s demand is given by q_m=2-2p. Air quality can be supplied
according to q = p where p is the marginal cost of supply. a) Graph
the aggregate demand for air quality along with individual demands.
b)What is the efficient amount of air quality?

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