Along the TSC curve, the incremental cost associated with increasing abatement from A₁ to A₂ is found as the vertical distance between the TSC at A₁ and TSC at A₂.

Question

Quizplus · Accepted Answer

This statement is true. The TSC (Total Social Cost) curve shows the total cost to society of each level of pollution abatement. The incremental cost of increasing abatement from one level to another is the vertical distance between the TSC curve at those two levels.

Along the TSC Curve, the Incremental Cost Associated with Increasing