d) Show that the Principle of Optimization at the Margin also implies that the EPA should require 3 units of pollution reduction. 9. It is possible to use equations to do marginal analysis. Suppose your firm has a marginal revenue given by MR = 16 - Q. The marginal cost for your firm is MC = 4 + Q. a) Is it a good idea to produce the seventh unit of output? Why or why not? b) Find the Q that sets marginal cost equal to marginal revenue (MC = MR). As a preview of upcoming chapters, try to explain why this value maximizes profit. Use the table below. Q units MR MC MR-MC G UA W N H 8 9 10 10. You are the manager of a U-pick raspberry farm, and you have to decide how many customers to admit into your raspberry field each hour. Assume that each customer stays exactly one hour. Customers are costly to admit because they inflict wear and tear on the trellis system, fencing, etc. Moreover, each additional customer generates more wear and tear than the customer before. As a result, the farm faces increasing marginal cost. The accompanying table shows the marginal costs associated with each number of customers per hour. a) Suppose that each customer pays $24 for a one-hour "all you can pick" session. Use the principle of marginal analysis to find the optimal number of customers that you should admit per hour. b) You increase the price of a one-hour U-pick session to $25.75. What is the optimal number of customers per hour that you should admit now