The Diagram Below Shows the Marginal Costs of Pollution Abatement

question 84

Multiple Choice

The diagram below shows the marginal costs of pollution abatement for two firms,Firm 1 and Firm 2. FIGURE 17-5
-Refer to Figure 17-5.If the government requires each firm to abate Q₃ units of pollution,the social costs of this abatement

• A)would be minimized.
• B)could be reduced further if each firm was required to abate more.
• C)could be reduced further if Firm 1 increased its abatement and Firm 2 reduced its abatement by the same amount.
• D)could be reduced further if Firm 2 increased abatement and Firm 1 reduced its abatement by the same amount.
• E)could be reduced further if each firm was allowed to pollute more.

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Definitions:

GRIT

in psychology, passion and perseverance in the pursuit of long-term goals

Conflict

A struggle or clash between opposing forces, ideas, interests, or people.

Conciliation

The process of resolving a dispute or conflict through mutual agreement and understanding.

Interracial Contact

Refers to the direct interaction between people from different racial backgrounds, which can influence attitudes and reduce prejudice.