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The Optimal Level of Air Pollution by a Firm Is

Question 72

Multiple Choice

The optimal level of air pollution by a firm is _____


A) the level at which the marginal private cost of improving air quality equals zero.
B) the level at which the marginal social cost of improving air quality equals the marginal social benefit.
C) the level at which the average social cost of improving air quality equals the average social benefit.
D) the level at which the total social cost of improving air quality equals the total social benefit.
E) the level at which the marginal social cost of improving air quality is minimized.

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