Suppose that there are three power-generating plants,all of which generate emissions.The table summarizes the cost of emission reduction for each firm given five different levels of pollution:
Suppose that the government imposes a tax of $20 per ton of pollution generated.If Firm A produces 2 tons of smoke,its abatement costs plus taxes will total ____,and if Firm A produces 3 tons of smoke,its abatement costs plus taxes will total ____.Firm A will be better off emitting
A) $30;$14;3 tons than 2 tons
B) $40;$24;3 tons than 2 tons
C) $36;$74;2 tons than 3 tons
D) $70;$74;2 tons than 3 tons
Correct Answer:
Verified
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