Multiple Choice
Use the following to answer question:
Figure: The Socially Optimal Quantity of Pollution 
-(Figure: The Socially Optimal Quantity of Pollution) Use Figure: The Socially Optimal Quantity of Pollution.In the figure,firms are the only beneficiaries of pollution,and costs are borne solely by others in the society.Without government intervention:
A) firms will continue to pollute until the marginal benefit to them is zero.
B) firms will continue to pollute until the marginal benefit to them is $200.
C) the optimal quantity of pollution will occur.
D) The outcome cannot be determined without more information.
Correct Answer:

Verified
Correct Answer:
Verified
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