Question: In considering producer-to-consumer externalities in Appendix 5.3, it is stated that where there are multiple sources of emissions, and where only individuals suffer from pollution,
In considering producer-to-consumer externalities in Appendix 5.3, it is stated that where there are multiple sources of emissions, and where only individuals suffer from pollution, each source should be taxed at the same rate. Prove this, and derive the tax rate.
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