The article, Something is Rising, talks about the negative effects of coal mining. Coal is a fuel primarily used to produce electricity and heat around the world. The coal market in general is a standard supply and demand curve, as shown in the attached graph 1. Market equilibrium maximizes consumer surplus plus producer surplus. The coal market is elastic, because although the need for coal is strong, there are substitutes such as gas, oil and kerosene that can be used. However, this is ineffective because it excludes social costs. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essay The market for coal workers is different from the coal market in general because it includes the social cost on workers, as shown in the attached graph 2. In this graph we see a shift in the supply curve due to the additional external costs to society. Therefore, supply plus external costs (social costs) shift the curve up and to the left. Because of this shift, there is a change in the balance. With the graph for the overall coal market, it did not include social costs so it was inefficient, however with social costs included in the market for coal workers, it is efficient. The shift in the supply curve creates an efficient equilibrium price and an efficient equilibrium quantity. (All this can be seen in graph 2). The equilibrium maximizes the total gain to society, when the social cost is included. The equilibrium quantity is greater than the efficient equilibrium quantity, which results in a total cost greater than the total benefit, which is clearly bad. Therefore, coal consumption actually causes problems for society. The reason why it is important to focus on external costs, especially in this case with coal, is because it affects the social outcome. For example, when the social cost is low, people who need money will work. However, when the social cost is higher, people may need to reconsider whether or not the negative externalities outweigh the need for money. However, it is also important to consider the effects of stopping coal mining by mountaintop removal. If this type of mining were stopped, there would be a decrease in supply and quantity, which is not good from a business perspective. If you look at the effect on the market for coal workers, although the quantity and supply decrease, there is also a decrease in the social cost. For the individual worker, this is bad because people may lose their jobs and need them in exchange for money to support themselves and their families, however for society as a whole, a decrease in social costs is beneficial. Please note: this is just a sample. Get a custom paper from our expert writers now. Get a Custom Essay In the reading, a man named Nathan Hall was mentioned. Nathan Hall was able to describe first-hand examples of some negative externalities on this type of coal mining. He stated: “For a long time I was put in dangerous situations.” (210). Another man in the article, Larry Bush, tells the story of a three-year-old boy named Jeremy Davidson, who was killed when a boulder weighing half a ton crashed into his trailer and Jeremy's bed. This type of mining is not only dangerous for people, but also extremely destructive to the environment. Bush.
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