7. A cement producer is in a densely populated city. The production process emits pollutants into the air, which have adverse effects on the respiratory health of nearby residents. Currently, there are no regulations in place, and the facility releases 100 tons of pollutants annually. In response to concerns raised by the community, the government study to assess the health costs associated with the pollution. The study determines that the initial marginal benefit of abatement is $80,000 in reduced health damages. Furthermore, for each ton of pollutant abated, the marginal reduction in damage decreases linearly by $500 (until it reaches zero). Upon investigation, the facility's operators disclose that the marginal costs of reducing emissions begin at $30,000 and increase linearly at a rate of $1,500 per unit reduced. It is assumed that the operators are providing accurate cost information. a.What are the steps to calculate the efficient level of abatement? b. What is the efficient abatement level? c.Represent this problem in a graph. Includes the MAC, MAB, optimal level of abatement, and DWL in the absence of government intervention. Make sure to label your axes, equations, and intersections with the intercept