Question: Please help with this question. Both parts (A and B) Question 3 (10 points) Peppa pig and Suzy sheep love rowing their boats gently down

Please help with this question. Both parts (A and B)

Please help with this question. Both parts (A and B) Question 3

Question 3 (10 points) Peppa pig and Suzy sheep love rowing their boats gently down the stream. But the river is now polluted with industrial waste which makes a very unpleasant rowing experience for them. Suppose Peppa's demand for river water quality is given by QP : 1 _ 2p where P is Peppal's marginal willingness to pay for river quality. Similarly, Suzy's demand is given by qp = 1 _ 210' Clean river quality can be supplied according to q=p where p is the marginal cost of cleaning the river. a. Graph the aggregate demand for clean river along with individual demands. b. What is the efcient amount of clean river

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