Question

A rain barrel is a container that captures and stores rainwater for landscape and garden use during dry periods. rain barrels provide an external benefit to the community through water conservation. what can the government do to equate the equilibrium quantity of rain barrels and the socially optimal quantity of rain barrels?

Answer 1

Hello,

The socially optimal quantity of rain barrels will be larger than the equilibrium quantity of rain. You need to calculate the rainwater for landscape and garden use during dry periods. The, the equilibrium quantity of rain barrels and the socially optimal.