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Subject: Environmental Science Course: BUS 1103

What is the summary of this case study?

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The case study titled "Putting Environmental Economics in Perspective: Case Study of Four Corners Power Plant, New
Mexico" analyses the economic impact of environmental regulations on a power plant in New Mexico that is a major source of
air pollution in the region. The author analyses the economic effect of different environmental rules placed on the facility as well
as the possible benefits of reducing air pollution. The research emphasizes the complicated relationship between environmental
policy, economics, and public health, arguing that while environmental regulations can be expensive to enact and police, they
are essential to safeguard public health and the ecosystem. The research sheds light on the economic and environmental
consequences of regulations affecting the energy industry.

Explanation:
The case study "Putting Environmental Economics in Perspective: Case Study of Four Corners Power Plant, New Mexico"
focuses on the Four Corners Power Plant in New Mexico, which is a significant source of air pollution in the region. The
research examines the economic effect of different environmental rules imposed on the power plant over time.
The author analyses and assesses the efficacy of various laws, such as the Clean Air Act and the Clean Air Visibility Rule, in
reducing air pollution and enhancing public health. While these regulations have resulted in substantial reductions in emissions
from the plant, the research finds that they have also increased the prices of electricity generation and had some detrimental
economic effects on the area.
However, the research emphasises the importance of environmental regulations in protecting public health and the ecosystem
from the harmful impacts of air pollution. According to the author, the advantages of lowering air pollution, such as better health
outcomes and lower healthcare expenses, far outweigh the costs of enacting and enforcing environmental laws.
Overall, the case study offers useful insights into the complex connection between environmental policy, economics, and public
health, and emphasises the significance of approaching environmental decision-making holistically. The research is helpful for
lawmakers, economists, and activists interested in the economic and environmental effects of laws on the energy industry.
 
Reference:
Bartlit, J. R. (2006). Putting environmental economics in perspective: Case study of Four Corners Power Plant, New
Mexico. Environmental Health Perspectives, 114(6), 818-825. https://doi.org/10.1289/ehp.8747
 

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