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P $14 $12 $10 $8 D $6 $4 MSB $2 2 4 6 8 10 12 14 Q Determine the optimal Pigovian tax for this

P $14 $12 $10 $8 D $6 $4 MSB $2 2 4 6 8 10 12 14 Q Determine the optimal Pigovian tax for this externality

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