|
. = [Pni(l - Pm)]] , (12) L°lmni J dres = 1 MmiK = 'ɪ[p' - Pni)]l , (13) kɑʌni J dres=O | |
|
The same approach is |
used to calculate the marginal affects of changes in variable compliance |
29 Research that considers the merits of ozone-exposure based permit trading is limited. Farrell
et al. develop a dynamic, linear programming model of the NOx Budget Program, a smaller NOx
emissions trading program that predated the SIP Call. They address a variety of permit market
design issues, including whether to impose geographic constraints on permit trading so as to prevent
undesirable spatial patterns of permitted emissions between pre-determined zones. They conclude
that the benefits associated with geographically constrained permit trading (1-2% change in the
spatial pattern of emissions) do not justify the costs. In a more recent paper, Krupnick et al.
use a regional atmospheric model of the eastern United States to estimate point source trading
ratios. They compare an emissions based NOx trading program with an exposure based scenario
and conclude that there is no clear benefit to a spatially differentiated trading policy.
46
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