题目
题目

AS.440.661.50.SP25 Module 4 Problem Set

单项选择题

When firms in a polluting industry have different costs for the technology to reduce pollution, which of the following is efficient?

选项
A.mandating equivalent reductions in pollution from all firms
B.mandating that each firm reduce pollution up to the point at which the marginal cost of reducing pollution is equal to the total social benefit of the reductions for each firm
C.mandating that each firm reduce pollution up to the point at which the marginal cost of reducing pollution for each firm is equal to the marginal social benefit of the reductions
D.mandating that each firm reduce pollution up to the point at which the marginal benefit of doing so is zero
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标准答案
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思路分析
The question asks about the efficient policy when firms in a polluting industry face different abatement costs. Different options require evaluating what the efficiency condition should be. Option 1: 'mandating equivalent reductions in pollution from all firms' would impose the same amount of abatement regardless of each firm's cost, which is not efficient. When costs differ, some firms should aba......Login to view full explanation

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