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Public Solutions to Externalities
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Public Solutions to Externalities
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7. Externalities / Public Solutions to Externalities / Problem 5
Problem 5
Why might it be economically rational to allow a certain level of pollution?
A
Because pollution is always beneficial.
B
Because the benefits of some pollution can outweigh the costs.
C
Because pollution has no impact on society.
D
Because it is impossible to reduce pollution.
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