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    Exam 5: Externalities, Environmental Policy, and Public Goods
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    Figure 5-7 -Refer to Figure 5-7.Which of the Following Statements Is True
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Figure 5-7 -Refer to Figure 5-7.Which of the Following Statements Is True

Question 46

Question 46

Multiple Choice

Figure 5-7
Figure 5-7    -Refer to Figure 5-7.Which of the following statements is true? A) At QE the benefits of reducing pollution outweigh the cost of pollution reduction. B) At QB society is under allocating resources to pollution reduction. C) The optimal quantity of pollution reduction is QB. D) The optimal quantity of pollution reduction is QE.
-Refer to Figure 5-7.Which of the following statements is true?


A) At QE the benefits of reducing pollution outweigh the cost of pollution reduction.
B) At QB society is under allocating resources to pollution reduction.
C) The optimal quantity of pollution reduction is QB.
D) The optimal quantity of pollution reduction is QE.

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