If Motorists Gain $8 in Benefits When Carbon Monoxide Emissions

question 133

Multiple Choice

If motorists gain $8 in benefits when carbon monoxide emissions are reduced from 10 pounds to 9 pounds and $5 when they are reduced from 9 pounds to 8 pounds, the marginal cost of the 9th pound of carbon monoxide is:

• A) $3.
• B) $5.
• C) $8.
• D) $9.

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Definitions:

Buyers

Individuals or entities that purchase goods or services.

Income

The total amount of money or value received by an individual or entity, typically over a specific period, from various sources such as wages, investments, or sales.

Decrease in Demand

A reduction in consumers' willingness or ability to buy a product at any given price.

Quantity Demanded

The total amount of a good or service that consumers are willing and able to purchase at a specific price level in a given period.