Recall the Application about how to wash carbon out of the air to answer the following question(s).
-Recall the Application.Assume a firm that produces CO₂ has a marginal cost of abatement of $45 per ton and faces a carbon tax of $35 per ton.If the cost of carbon washing is $25 per ton,the firm could save ________ per ton and emit ________ carbon into the atmosphere by using a carbon washing machine.
A) $20; less
B) $20; more
C) $10; less
D) $10; more

Question

Quizplus · Accepted Answer

The firm saves $10 per ton by using carbon washing ($45 - $35 = $10) and emits less carbon because the cost of carbon washing ($25) is less than the marginal cost of abatement ($45).

Recall the Application About How to Wash Carbon Out of the Air