The Optimal Level of Pollution Occurs Where the Marginal Social

question 48

Multiple Choice

The optimal level of pollution occurs where the marginal social benefit is equal to

• A)marginal private cost, which equals marginal social cost plus marginal external cost
• B)marginal social cost, which equals marginal private cost plus marginal external cost
• C)marginal external cost, which equals marginal private cost plus marginal social cost
• D)marginal private cost, which equals marginal social cost plus marginal internal cost
• E)marginal social cost, which equals marginal private cost plus marginal internal cost