Economics · Microeconomics

Smog City: Negative Externalities and Pigouvian Tax

UK A-Level Economics simulation. Run a steel plant across six rounds and experience why free markets over-produce when there is pollution, then test tax, cap-and-trade, and subsidy as corrective policies.

6 rounds Executive English, Español
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Who it is for

An advanced simulation for participants used to working with the main frameworks and trade-offs of the subject, designed for executive education and experienced professionals.

How a session runs

  1. The instructor creates a session from the Eureka dashboard and invites the participants.
  2. Participants play 6 rounds. In each one they submit their decisions and the simulation calculates the results.
  3. The simulation can be run in English, Español.
  4. The instructor follows each participant's progress and results from the dashboard, and uses the class results for the debrief.

Decisions participants make

The decisions participants make during the simulation:

  • Steel Output (tonnes)
  • Policy Instrument
  • Policy Level

Subjects covered

Designed for courses in Microeconomics.

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