For a Firm with More Than One Source of Emissions

question 5

Multiple Choice

For a firm with more than one source of emissions, the ________ states that the total costs of abating a given abatement target will be minimized when the marginal costs of abatement are ________ across sources.

• A)equimarginal principle; equalized
• B)law of one price; equalized
• C)equimarginal principle; minimized
• D)Coase theorem; equalized

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Definitions:

Profit

The financial gain obtained when the revenues generated from business activities exceed the expenses, costs, and taxes associated with maintaining the business.

Bill

A statement of money owed for goods sold or services provided, presented to a purchaser by a vendor.

Red Bell Peppers

A cultivar of the species Capsicum annuum, noted for its sweet taste and vibrant red color, commonly used in cooking and salads.

Imported

Goods or services brought into one country from another, subject to trade regulations and possibly tariffs.