The figure below depicts the relationship between the social benefits and social costs associated with different levels of pollution. The two curves are Social Marginal Cost (SMC) and Social Marginal Benefit (SMB). The other terms are P = Price of the commodity, MC = Marginal Cost (private), and MB = Marginal Benefit (private). For pollution level 'a', ________, therefore the country should ________ pollution.

A. SMB > SMC; increase
B. SMB > SMC; decrease
C. SMC < MC = P = MB; decrease
D. SMC = MC; decrease


Answer: A

Economics

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Refer to the above table. If the consumer's equilibrium consists of 4 movies and 4 apple pies, then we know that

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Economics

In a partnership, debts accumulated by one partner are

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Economics