The total cost of reducing pollution by 60 units equals $ if it is done efficiently or $ done by forcing each firm to reduce pollution by 30 units. ○ A. 925; 1125 OB. 900; 1100 ○ C. 850; 1050 D. 800; 1000 if it is MCA MCE 45- 40- 20 15- 10- per 5- 0+ Marginal Abatement Cost ($) 35- 30- 25- 0 10 -2 20 30 40 50 60 70 80 90 10 Pollution Abatement E. None of the above The efficient levels of pollution reduction can be achieved by using a pollution tax equal to $ unit. ○ A. 25 ○ B. 30 C. 20

The total cost of reducing pollution by 60 units equals $ if it is done efficiently or $ done by forcing each firm to reduce pollution by 30 units. ○ A. 925; 1125 OB. 900; 1100 ○ C. 850; 1050 D. 800; 1000 if it is MCA MCE 45- 40- 20 15- 10- per 5- 0+ Marginal Abatement Cost ($) 35- 30- 25- 0 10 -2 20 30 40 50 60 70 80 90 10 Pollution Abatement E. None of the above The efficient levels of pollution reduction can be achieved by using a pollution tax equal to $ unit. ○ A. 25 ○ B. 30 C. 20

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter12: Environmental Protection And Negative Externalities

Section: Chapter Questions

Problem 16RQ: What is the difference between private costs and social costs?

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