Question: Optimal pollution i s not zero 1 . Pollution i s a negative externality. Define E = emissions and A = abatement. The transfer function

Optimal pollution is not zero
1. Pollution is a negative externality. Define E= emissions and A= abatement. The transfer function isE=
100-2A. Abatement costs are C=20A+A2 while the benefits are B=100A-A2

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