Marginal cost and marginal benefit (dollars per person) 115 105 95 MSC 85 75 65 15 MSB 0 2 3 4 5 Capacity (millions of litres per day) Figure 17.2.3 40) Refer to Figure 17.2.3. The graph provides information about a waste disposal system in a city of 1 million people. If the city installs the efficient capacity, then each person pays in taxes. A) $125 B) $62.50 C) $250 D) zero E) $31.25 Answer: B