In the above figure, the optimal level of pollution cleanup is
A) Q1.
B) Q2.
C) Q3.
D) Q4.
C
You might also like to view...
Suppose that M is fixed. According to the quantity equation, which of the following would make the price level higher?
a. Y or V rise b. Y or V fall c. Y rises or V falls d. Y falls or V rises
Production is efficient when
A) it generates a point beyond the production possibility curve. B) the economy cannot produce more of one good without giving up the production of another good. C) technological change occurs. D) the maximum amounts of the most important good are produced.
In the classical model, aggregate demand and aggregate supply will
A. intersect at the point of full employment. B. intersect at less than full employment. C. not intersect. D. not exist.
What happens to real money demand (rise, fall, no change) due to a change in each of the following factors?
(a) A tax on stock market transactions is introduced. (b) Computerized bond trading reduces transactions costs. (c) People's average level of wealth rises. (d) The threat of a recession increases the riskiness of stocks and bonds. (e) The interest rate paid on checking account balances declines. (f) The price level falls in a one-time jump.