An Efficient Policy to Reduce Pollution Would Reduce Pollution to the Point

question 111

Multiple Choice

An efficient policy to reduce pollution would reduce pollution to the point where:

• A) the marginal costs of reducing pollution equal the marginal benefits of reducing pollution.
• B) it is eliminated.
• C) the marginal costs of reducing pollution are greater than the marginal benefits of reducing pollution.
• D) the marginal costs of reducing pollution are less than the marginal benefits of reducing pollution.