Asked by Angie Rivera on May 07, 2024
Verified
Refer to Figure 18.2.1 above. In which of the following instances is the cost of reducing emissions less the harm done from emissions?
A) When the level of emissions is 6 units
B) When the level of emissions is 12 units
C) When the level of emissions is 18 units
D) In all of the cases above
Emissions
The release or discharge of substances (like gases or pollutants) into the environment, often from industrial or vehicular sources.
Harm
Refers to damage or injury that negatively affects someone or something in a physical, psychological, or financial manner.
- Understand the mechanisms and effects of different environmental policies, including emissions standards, fees, and transferable permits.
Verified Answer
DD
Dorette DjoufackMay 09, 2024
Final Answer :
C
Explanation :
At a level of 18 units of emissions, the cost of reducing emissions is less than the harm done from emissions, as shown by the intersection of the marginal abatement cost curve and the marginal damages curve. At levels of 6 and 12 units, the harm done from emissions outweighs the cost of reducing emissions.
Learning Objectives
- Understand the mechanisms and effects of different environmental policies, including emissions standards, fees, and transferable permits.
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