Total utility increases if one more unit of a product is purchased and marginal utility is negative.

The above figure depicts the Edgeworth box for two individuals, Al and Bruce. If the endowment is at point a, and Al has no ability to bargain, the final allocation will be at point

A) a. B) b. C) c. D) d.

Markets for pollution rights

a. have never been tried in the United States b. assign property rights to those who value them least c. allow the government to assign property rights d. enable those who value them most to pollute e. are less efficient than pollution standards