Question: Using the following data, prove that pollution permits that can be bought and sold can reduce pollution from 12 tons to 6 tonsat a lower

Using the following data, prove that pollution permits that can be bought and sold can reduce pollution from 12 tons to 6 tonsat a lower cost than a regulation which specifies that each of the three firms must cut its pollution in half.

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The costs of moving each firm from four to two units of pollution are X 900 ... View full answer

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