The Diagram Below Shows the Marginal Cost of Pollution Abatement

question 55

Multiple Choice

The diagram below shows the marginal cost of pollution abatement for two firms,Firm X and Firm Y.
FIGURE 17- 4
-Refer to Figure 17- 4.Ignore the horizontal line at t.Suppose Firms X and Y are each abating QR units of pollution.If Firm X then reduces pollution by one unit and Firm Y increases pollution by one unit,then

• A)the total cost of abatement remains the same but pollution falls.
• B)total pollution remains the same but the total cost of abatement falls.
• C)the total costs of abatement and the amount of pollution do not change.
• D)total pollution remains the same but the total cost of abatement increases.
• E)the total cost of abatement remains the same but pollution increases.

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