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YOUR FURNI GRADED Name or W . CHOOSE EITHER QUESTION 2 OR QUESTION 3 TO ANSWER. YOU DO NOT NEED TO DO BOTH. Question 2 (8 points) Suppose there are two polluting firms, each polluting 12 tons of sulfur dioxide (SO ). SO, emissions create acid rain which harms species in lakes and rivers. The government imposes a per unit emission tax of $ Each firm will be required to pay this change for each ton of SO, it emits. The data below represents the marginal abatement costs for the two firms. Answer the questions that are provided on the answer sheet Firm 1 Firm 2 Tons of SO Marginal Total Tons of Marginal Total abated Abatement Abatement SO Abatement Abatement Costs Costs abated Costs Costs MAC (MAC) $SO SSO 10S 00 28 8 175 100 265 150 120 385 210 282838 110 120 How many tons of SO, will Firm 1 abate? How many tons of SO, will Firm 2 abate? What are the total costs of abatement incurred by Firm 1? What are the total costs of abatement incurred by Firm 2? How many tons of SO, will Firm 1 emit after the charge? How many tons of SO, will Firm 2 emit after the charge? In total, how much will Firm 1 pay in emission taxes?". In total, how much will Firm 2 pay in emission taxes?". Z . . HINT: tax rate & units of pollution remaining for the respective firm Social Science (SS) Learning Outcome 1 Social Science (SS) Learning Outcome 2 Social Science (SS) Learning Outcome 3