Suppose a Paper Mill Earns $1,000,000 in Profits When It

question 6

Multiple Choice

Suppose a paper mill earns $1,000,000 in profits when it pollutes a river,and it can abate pollution at a cost of $A.The effects of the pollution are confined to a single farmer who earns $400,000 if the water he uses from the river is clean and $300,000 if it's polluted.If _______,then abatement would be efficient.

• A) A < 300,000
• B) A > 100,000
• C) A < 100,000
• D) A < 400,000

---

Definitions:

Silicate Minerals

Minerals that contain silicon and oxygen, and possibly other elements, forming the largest and most important class of rock-forming minerals.

Earth's Crust

The outermost layer of Earth, comprising both continental and oceanic crust, and forming the solid surface of the planet.

Earth's Mantle

The thick layer of rock between the Earth's crust and core, making up about 84% of Earth's volume.

Atomic Weight

The average mass of atoms of an element, calculated using the relative abundance of isotopes in a naturally-occurring element.