The graph shows the market for pesticide. The firm that produces the pesticide dumps waste into a river that the local water ski club owns. How much pesticide does the firm produce and how much does the firm pay the local ski club to dump waste into the river? Is the outcome efficient? Why or why not? The firm produces tons of pesticide a week and pays the local ski club OA. 4,000; $300 OB. 4,000; $400 OC. 8,000; $300 OD. 8,000 $200 The outcome is OA. inefficient because marginal social cost is greater than marginal private cost a ton.

The graph shows the market for pesticide. The firm that produces the pesticide dumps waste into a river that the local water ski club owns. How much pesticide does the firm produce and how much does the firm pay the local ski club to dump waste into the river? Is the outcome efficient? Why or why not? The firm produces tons of pesticide a week and pays the local ski club OA. 4,000; $300 OB. 4,000; $400 OC. 8,000; $300 OD. 8,000 $200 The outcome is OA. inefficient because marginal social cost is greater than marginal private cost a ton.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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