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Imagine a firm's marginal abatement cost function with existing technologies is: MAC = 32 - 4E. If the firm adopts new pollution abatement technologies, its

Imagine a firm's marginal abatement cost function with existing technologies is: MAC = 32 - 4E. If the firm adopts new pollution abatement technologies, its marginal abatement cost function will be: MAC = 16 - 2E.If the government raises the tax on emissions from $4 to $8, the benefits of adopting the new technologies increase by $____.

Select one:

a.$7.

b.$5.

c.$6.

d.$8.

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