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An entrepreneur owns a dormant tire factory. She has three choices: leave the factory dormant (no tires), produce at a low level (some tires), or

An entrepreneur owns a dormant tire factory. She has three choices: leave the factory dormant (no tires), produce at a low level (some tires), or produce at a high level (many tires). Producing tires generates profits but also imposes a negative externality on the neighbor from air pollution. This table summarizes the profits and externalities associated with each level of production: Production level Profit Externality Social payoff Dormant 0 0 Low 200 -100 High 300 -250 1. Complete the last column in the table by indicating the social payoff associated with each level of production

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