Question

The following table shows the marginal costs for each of four firms (A, B, C, and D) to eliminate units of pollution from their production processes. For example, for Firm A to eliminate one unit of pollution, it would cost S54, and for Firm A to eliminate a second unit of pollution it would cost an additional $67. Firm Unit to be First unit Second unit 54 67 82 107 62 57 68 86 108 ird unit Fourth unit 82 107 91 12. Refer to Table 10-5. If the government wanted to reduce pollution from 16 units to 6 units, which of the following fees per unit of pollution would achieve that goal? a. $67 b. $68 c. $81 d. $83

Please clearly explain how the answer is d

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