If the Marginal Cost of Pollution Abatement Is Smaller for Large

question 36

Multiple Choice

If the marginal cost of pollution abatement is smaller for large firms than it is for small firms, then it is efficient for:

• A)small firms to reduce pollution by more than large firms.
• B)small firms and large firms to reduce pollution by a fixed proportion.
• C)small firms and large firms to increase pollution by a fixed proportion.
• D)large firms to reduce pollution by more than small firms.

---

Definitions:

Toe-in

It refers to the alignment adjustment of vehicle wheels in which the front of the tires are closer to each other than the rear, promoting straight-line stability.

Feather-edge Wear

Wear pattern on tires or brakes characterized by a tapered condition where one edge is significantly thinner than the opposite edge, often resulting from improper alignment.

Scuffing

Wear caused by friction between two moving surfaces without adequate lubrication, often seen in engine parts.

Negative Camber

A wheel alignment setting where the top of the wheel is tilted inward towards the vehicle, improving cornering performance at the expense of tire wear.