The Optimal Quantity of Air Pollution Is

question 107

Multiple Choice

The optimal quantity of air pollution is

• A) whatever amount of pollution is produced by the profit maximizing firm.
• B) found by equating the marginal benefits from further reductions in pollution and the marginal costs of further reductions in pollution.
• C) found by setting the quantity of air pollution equal to the quantity of water pollution.
• D) a meaningless concept since monetary values cannot be attached to problems associated with pollution.

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Definitions:

Innovation

The process of creating new ideas, products, or methods, which can significantly change and improve the way things are done.

Creativity

The ability to produce original, innovative ideas, approaches, or solutions by thinking beyond traditional boundaries and patterns.

Originality

The quality of being novel or unusual; the ability to think independently and creatively.

Inventiveness

The quality of being skilled at inventing, devising, or contriving new ideas, methods, or devices.