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Imagine that the marginal damage resulting from pollutions is given with MD = 120 - R, where R is the amount of reduction of pollution.

Imagine that the marginal damage resulting from pollutions is given with MD = 120 - R, where R is the amount of reduction of pollution. At the same time the marginal cost of reduction of pollution is given with MC = R. What is the magnitude of the tax on pollution that restores efficiency? O 120 O 40 0 80 None of the above

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