The optimal level of air quality
a. is 100 percent, which creates a pollution-free environment
b. is smaller the lower the marginal social cost of air quality
c. is greater the lower the marginal social benefit of air quality
d. is greater the lower the marginal social cost of air quality
e. is smaller the greater the marginal social benefit of air quality
D
You might also like to view...
The futures price
A) reflects traders' expectations of the spot price on the day of delivery. B) is always above the spot price on the day of delivery. C) is always below the spot price on the day of delivery. D) is always equal to the spot price at every point in time.
An efficiency-wage premium serves the same function as a bond because, just as with a bond, the premium represents
A) the amount the employee loses if caught shirking. B) the expected value of the amount the employee loses if he shirks. C) the cost of monitoring the employee. D) the gain to the employee if he shirks.