Refer to the Figure above. Assume that the firm is facing MAC₁ and that it has adjusted its permit holdings to e₁. What is the firm's incentive to engage in R&D to reduce abatement costs to MAC₂? A) (a+b) B) (a+c) C) (a+b+c) D) (a+b+c+d)

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The Answer of Refer to the Figure above. Assume that the firm is facing MAC₁ and that it has adjusted its permit holdings to e₁. What is the firm's incentive to engage in R&D to reduce abatement costs to MAC₂? A) (a+b) B) (a+c) C) (a+b+c) D) (a+b+c+d)

Refer to the Figure Above