Firms A and B each produce 50 units of pollution
Firms A and B each produce 50 units of pollution. The MC associated with pollution reduction are : MC = 50 + 3Q for firm A and + 6Q for firm B. (Q represents the quantity of pollution reduction by each firm). Social Marginal Benefit (SMB) from pollution reduction is: SMB = 590 + 3Q(t), […]
Firms A and B each produce 50 units of pollution Read More »