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Figure: Pollution and Efficiency
-(Figure: Pollution and Efficiency) Look at the figure Pollution and Efficiency. In this market, whose sulfur emissions are a result of production, an efficient solution takes place at a price of _____ and a quantity of _____.
A) $5; 40
B) $15; 30
C) $25; 30
D) $15; 15

Question

Use the following to answer questions:
Figure: Pollution and Efficiency 
-(Figure: Pollution and Efficiency) Look at the figure Pollution and Efficiency. In this market, whose sulfur emissions are a result of production, an efficient solution takes place at a price of _____ and a quantity of _____.
A) $5; 40 
B) $15; 30 
C) $25; 30 
D) $15; 15

Quizplus · Accepted Answer

The efficient solution occurs where the marginal social cost equals the marginal social benefit, which is at a price of $15 and a quantity of 30.

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