Given the general agreement that pollution is undesirable and social welfare is increased by reducing pollution, the optimal level of pollution in a society is:
A)zero.
B)the level that reduces the marginal social costs of pollution to zero.
C)the level of pollution at which the marginal social cost of pollution is equal to the marginal social benefit of pollution.
D)the level of pollution that minimizes the average total cost of producing the product that generates the pollution.

Question

Quizplus · Accepted Answer

The optimal level of pollution is where the marginal social cost of pollution equals the marginal social benefit, balancing the costs and benefits to society.

Given the General Agreement That Pollution Is Undesirable and Social