if-the-social-cost-of-pollution-is-50-per-unit-and-the-market-price-is-30-per-un

Question

If the social cost of pollution is $50 per unit and the market price is $30 per unit, what should be the Pigovian tax to achieve market efficiency?

Accepted Answer

$20 per unit

Answer

$50 per unit

Answer

$80 per unit

Answer

$30 per unit

If the social cost of pollution is \$50 per unit and the market price is \$30 per unit, what should be the Pigovian tax to achieve market efficiency?