The additional cost imposed on society as a whole by an additional unit of pollu

Question

The additional cost imposed on society as a whole by an additional unit of pollution is: • A technology spillover • The optimal Pigouvian tax • The marginal social benefit of pollution • The marginal social cost of pollution The additional cost imposed on society as a whole by an additional unit of pollution is: • A technology spillover • The optimal Pigouvian tax • The marginal social benefit of pollution • The marginal social cost of pollution The additional cost imposed on society as a whole by an additional unit of pollution is: • A technology spillover • The optimal Pigouvian tax • The marginal social benefit of pollution • The marginal social cost of pollution

Explanation / Answer

• The marginal social cost of pollution.

Explanation- By definition of Marginal social cost (MSC) is the total cost to society as a whole for producing one more unit, or taking one more action, in an economy.

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