The Two Firms Listed Below Have Five Different Technologies for Pollution

Multiple Choice

The two firms listed below have five different technologies for pollution control to choose from: 1,2,3,4 and 5.The amount of pollution emitted and the cost of the technologies are shown in the table.In the absence of government oversight,the firms will pick technology 1 and emit 4 tons each.The government is considering two plans to reduce pollution: a 50% reduction by both firms or selling pollution permits.One permit entitles the owner to emit one ton of pollution.Without a permit,no pollution can be emitted.
-Refer to the information above.Disunion Carbonated would be willing to pay __________,__________,__________,and __________ for the right to discharge 1,2,3,and 4 tons of pollution.

A) $110;$40;$25;$0
B) $200;$90;$60;$25
C) $25;$40;$110;$200
D) $600;$400;$290;$250
E) $400;$290;$250;$225