If the government levies a pollution tax such that the utility produces the efficient quantity, what is the price of electricity, the tax levied, and the government€™s tax revenue per day?
The first two columns of the table show the demand schedule for electricity from a coal burning utility; the second and third columns show the utility€™s cost of producing electricity. The marginal external cost of the pollution created equals the marginal cost.

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Quantity Price demanded Marginal cost (cents per (kilowatts cents per kilowatt er da 500 400 300 200 100 kilowatt 10 4 12 16 20 4