magine a firm's marginal abatement cost function with existing technologies is: MAC = 12 - E. If the firm adopts new pollution abatement technologies, its marginal abatement cost function will be: MAC = 6 - 0.5E.The adoption costs for the new technology are $4.If the government raises the tax on emissions from $1 to $3, the firm's total costs increase by $_____.

HINT:Total costs include tax payments, total abatement costs, and (if relevant) adoption costs for the new technology.

Select one:

a.$15.50.

b.$19.50.

c.$12.50.

d.$8.