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If the Marginal Benefit of Reducing Emissions of Some Air

Question 213

Multiple Choice

If the marginal benefit of reducing emissions of some air pollutant is less than the marginal cost,


A) further reductions will make society better off.
B) further reduction will make society worse off.
C) pollution taxes should be imposed on producers to pay for further reductions.
D) economic efficiency will be increased if further reductions are made.

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