The least costly way of achieving reductions in emissions for a group of polluting sources is depicted by the aggregate marginal abatement cost function of the group of sources.

Question

Quizplus · Accepted Answer

The aggregate marginal abatement cost function shows the cost of reducing emissions across all sources in a group at the margin. By identifying the sources with the lowest cost of reducing emissions, the group can achieve reductions in the most cost-effective way. Therefore, the least costly way of achieving reductions for a group of polluting sources is indeed determined by the aggregate marginal abatement cost function.

The Least Costly Way of Achieving Reductions in Emissions for a Group