The marginal external cost associated with paper production is constant at $10 per ton per year. The competitive market equilibrium for paper production is currently 10 million tons per year. A corrective tax on paper production:
A) will collect $100 million annually.
B) will collect more than $100 million annually.
C) will collect less than $100 million annually.
D) will reduce annual damages to those other than buyers and sellers of paper to zero.
E) both a and d
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