Two firms,A and B,each currently dump 20 tonnes of chemicals into the local river.From now on both firms will require a pollution permit for each tonne of pollution dumped into the river.The government gives each firm 10 pollution permits,which it can either use or sell to the other firm.It costs Firm A $100 for each tonne of pollution that it eliminates before it reaches the river,and it costs Firm B $50 for each tonne of pollution that it eliminates before it reaches the river.After the two firms buy or sell pollution permits from each other,what would we expect
A)Firm A will no longer pollute, and Firm B will not reduce its pollution at all.
B)Firm B will no longer pollute, and Firm A will not reduce its pollution at all.
C)Firm A will dump 10 tonnes of pollution into the river, and Firm B will dump 10 tonnes of pollution into the river.
D)Firm A will increase its pollution, and Firm B will reduce its pollution.

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The Answer of Two firms,A and B,each currently dump 20 tonnes of chemicals into the local river.From now on both firms will require a pollution permit for each tonne of pollution dumped into the river.The government gives each firm 10 pollution permits,which it can either use or sell to the other firm.It costs Firm A $100 for each tonne of pollution that it eliminates before it reaches the river,and it costs Firm B $50 for each tonne of pollution that it eliminates before it reaches the river.After the two firms buy or sell pollution permits from each other,what would we expect
A)Firm A will no longer pollute, and Firm B will not reduce its pollution at all.
B)Firm B will no longer pollute, and Firm A will not reduce its pollution at all.
C)Firm A will dump 10 tonnes of pollution into the river, and Firm B will dump 10 tonnes of pollution into the river.
D)Firm A will increase its pollution, and Firm B will reduce its pollution.

Two Firms,A and B,each Currently Dump 20 Tonnes of Chemicals