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The Following Questions Refer to the Graph Below

Question 38

Multiple Choice

The Following Questions Refer to the graph below. The Following Questions Refer to the graph below.   -If the discharge of the firm is q<sub>1</sub> units per day and a tax of T1 per unit is placed on polluted discharge,the firm will A) Clean all of its discharge of wastes B) Clean none of its discharge of wastes C) Spend A<sub>0</sub>B<sub>0</sub> dollars on cleaning the discharge D) Spend A<sub>0</sub>q<sub>0</sub> dollars on cleaning the discharge E) (a) and (d)
-If the discharge of the firm is q1 units per day and a tax of T1 per unit is placed on polluted discharge,the firm will


A) Clean all of its discharge of wastes
B) Clean none of its discharge of wastes
C) Spend A0B0 dollars on cleaning the discharge
D) Spend A0q0 dollars on cleaning the discharge
E) (a) and (d)

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