Which of the Following Statements Is INCORRECT

question 5

Multiple Choice

Which of the following statements is INCORRECT?

• A) The MSC includes the market-level marginal abatement cost and the government's cost of enforcement
• B) If the MSC function is known, total social costs at a given abatement level are found as an area under the MSC
• C) If the TSC function is known, the marginal social cost of a given abatement level is equal to an area under the TSC
• D) The MSC of environmental quality is captured by the supply of environmental quality