-Refer to Figure 13

-Refer to Figure 13.4. Suppose the government wishes to reduce pollution to a quantity of Q_b. If it sells marketable pollution permits for a pollution quantity of Q_b, then:

A) firms will bid the price of the permits up to a price of P_a, and Q_a amount of pollution will result.
B) firms will bid the price of the permits up to a price of P_b, and Q_b amount of pollution will result.
C) firms will bid the price of the permits up to a price of P_c, and Q_c amount of pollution will result.
D) firms will bid the price of the permits up to a price of P_c, and Q_b amount of pollution will result.
E) firms will not be willing to pay any price for the permits, so there will be no reduction in pollution.