Question

Skyline, ECON 102 DOLAN) 1 of 6 NANE- - Date - TEST #4 Chapter 15 Discharge of proceed waste into the environment creates external costs because a) uses up natural resource b) requires hwyn of borrots c) requires heavy use of capital inputs d) hurts afm's profits Pollution abatement is a) the process of discharging untreated was the environment. b) the opportunity cost of discharging treated waste into the environment c) the reduction of the quantity of waste discharged into the environment d) the harmful effects of pollution on third parties $1400+ $1200+ Reformulate forta Marina Cat Ahment Cleaning equipment Clean packaging Chemical washing 03 + + + + + + 4 8 12 16 20 Chemical Emissions cons per year) Figure 6.1 shows the chemical emissions from a fertilizer plant and the marginal cost of abatement. With no pollution controls, how many tons of chemical emissions will the fimm produce? a) 8 b) 12 c) 16 d) 18

Answer 1

ques 1: the answer is option A: uses up the natural resources. As the unprocessed waste is released into environment, it causes worst form of air, soil and water pollution. This affects the well being of humans, animals and plants thereby creating negative externalities. It uses up the natural resources and gives rise to marginal costs.

ques2: the correct option is C: reduction of quantity of discharged waste into the environment. it basically refers to the process or technology undertaken to reduce the impact of pollution and its impact on environment.

ques3: the correct answer is D: 18. With no pollution control, that means Marginal cost of abatement = 0. Hence at zero MC, the chemical emissions are 18 tons per year