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. Firms X and Y have an emissions tax of $t imposed on each unit of pollution they produce. Firm X will choose to abate pollution of units and Firm Y will choose to abate pollution of units.
Definitions:
Merger
The process of combining two or more companies into one entity, usually to achieve greater market share or efficiency.
Bureaucratic Obstacles
Administrative or procedural barriers that hinder or complicate processes, often in the context of government or large organizations.
Leveraged Buyouts
A financial transaction where a company is purchased primarily with borrowed funds, often by taking out loans or by issuing bonds.
Conglomerate Acquisitions
The purchase of companies in different industries by a single corporate conglomerate, aiming to diversify business operations and minimize risks.
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