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Figure 9.7 -A Firm That Generates Pollution Is Illustrated in Figure 9.7

Question 15

Multiple Choice

Figure 9.7 -A firm that generates pollution is illustrated in Figure 9.7. If the government imposes a pollution tax equal to P₁ the marginal benefit to the firm of abating A₂ is A) P₁. B) P₂. C) P₁ - P₂. D) P₂ - P₃. Figure 9.7
-A firm that generates pollution is illustrated in Figure 9.7. If the government imposes a pollution tax equal to P₁ the marginal benefit to the firm of abating A₂ is


A) P₁.
B) P₂.
C) P₁ - P₂.
D) P₂ - P₃.

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