Figure 11-10 Consider a chemical plant that discharges toxic fumes over a nearby community. To reduce the emissions of toxic fumes, the firm can install pollution abatement devices. Figure 11-10 shows the marginal benefit and the marginal cost from reducing the toxic fumes emissions.
-Refer to Figure 11-10.What is the economically efficient level of pollution reduction?

Question

Figure 11-10  Consider a chemical plant that discharges toxic fumes over a nearby community. To reduce the emissions of toxic fumes, the firm can install pollution abatement devices. Figure 11-10 shows the marginal benefit and the marginal cost from reducing the toxic fumes emissions.
-Refer to Figure 11-10.What is the economically efficient level of pollution reduction?

Quizplus · Accepted Answer

The economically efficient level of pollution reduction is where the marginal cost of pollution reduction equals the marginal benefit.

Figure 11-10 Consider a Chemical Plant That Discharges Toxic