The level of pollution at which the marginal benefits equal the marginal cost of cleaning up is always

Question

Quizplus · Accepted Answer

The point at which the marginal benefits equal the marginal cost of cleaning up is known as the optimal quantity of pollution. This is the level of pollution that provides the maximum net benefit from resource use. At this level, the cost of reducing pollution is equal to the benefits obtained from having less pollution. Therefore, the optimal quantity of pollution represents the level at which resources are allocated efficiently, and there is no other level that would provide greater net benefits.

The Level of Pollution at Which the Marginal Benefits Equal