Question: Prove (graphically) that the point labeled e* in Figure 5.6 is indeed the point that minimizes total social costs, the sum of abatement and damage

Prove (graphically) that the point labeled e* in Figure 5.6 is indeed the point that minimizes total social costs, the sum of abatement and damage costs.

$ W D MAC DES a 1 e b Emissions (tons/year) MD

$ W D MAC DES a 1 e b Emissions (tons/year) MD e'

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