If Production Is Characterized by Variable Technology and Generates Pollution,the

question 170

Multiple Choice

If production is characterized by variable technology and generates pollution,the optimal level of air quality occurs where _____

• A)the marginal private cost of air quality equals the marginal social benefit.
• B)the marginal social cost of air quality equals the marginal social benefit.
• C)the marginal social cost of air quality equals the marginal private cost of air quality.
• D)government regulators set it.
• E)the average private cost equals the average social cost.

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Definitions:

Blasting Intense Noise

The act of emitting extremely loud and potentially damaging sound, often used as a form of crowd control or psychological manipulation.

Mere Exposure Effect

The psychological phenomenon by which people tend to develop a preference for things merely because they are familiar with them.

Unfamiliar Stimulus

A new or unknown stimulus that has not been previously encountered by an individual, often triggering a learning or adaptation process.

Reward Theory

A psychological principle suggesting that behaviors are motivated by the rewards they produce.