The Optimal Rate of Pollution Occurs Where

question 100

Multiple Choice

The optimal rate of pollution occurs where

• A)MR = MC for the production of the good that produces pollution.
• B)The marginal benefit equals the marginal cost of pollution abatement.
• C)The marginal benefit of pollution abatement is zero.
• D)Pollution is reduced to zero.

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Definitions:

National Defense

Government-provided security against foreign aggression, encompassing the military forces and other defense measures.

Common Resource

A resource like air or water that is not owned by anyone, is available for everyone to use, but can become depleted if overused.

Excludable

A characteristic of a good for which it is possible to prevent individuals from enjoying its benefits unless they pay for it.

Artificially Scarce

A situation where a product or resource's availability is limited through artificial means rather than natural scarcity.