QUESTION 10 Choose a wrong statement about negligence and strict liability. Strict liability is used when the contamination is hazardous. Strict liability transfers liability for damages to source if the source has not exercised much care. The defendant is guilty of negligence if the expected marginal loss caused by the contamination exceeds the marginal cost of preventing the contamination. Under the negligence law, the defendant is responsible for exercising due care. Select a statement that is not a conclusion or recommendation by the authors of "Environmental Justice: The Economics of Race, Place, and Pollution." Combining Coasean insights with the insights of the environmental justice movement, there would be important justice arguments for allocating the right to the environment to local communities. Economic models of residential location, firm entry/siting decisions, and government decision-making have not contributed to the discussion of why environmental injustice arises and to devise appropriate policy solutions. Given the current distribution of pollution exposure, the direct effects of environmental improvements will generally be progressive in the sense that the improved quality of life and health should be enjoyed especially by those of lower socioeconomic status. Regulatory actions are at least correlated with the political power of local communities