EnvR 210 – pOST -practice questions

1. EnvR 210 – pOST-practice questions Chapter 16 - Question Set#1- Fall 2012

2. The efficient level of pollution is: • the quantity at which its total benefits exceed its total costs by the greatest possible amount. • the quantity at which its total benefits equal its total costs. • where the marginal social benefit of an additional unit of pollution emission is greater than the marginal social cost of the additional unit of pollution. • where the marginal social benefit of an additional unit of pollution emission is less than the marginal social cost of the additional unit of pollution. 0 of 30

3. Oscar owns a meat processing plant whose unpleasant odors waft across the city. Because the production of processed meat provides a negative externality to the community, at the market equilibrium quantity, the marginal social: • cost of processed meat exceeds the market price. • benefit of processed meat exceeds the market price. • cost of processed meat is lower than the market price. • benefit of processed meat is lower than the market price. 0 of 30