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Question 2 (5 points) There are two firms in a community that pollute the environment. They emit 12 units of pollution in total (Firm A

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Question 2 (5 points) There are two firms in a community that pollute the environment. They emit 12 units of pollution in total (Firm A emits 8, firm B emits 4) in the absence of any government policy. The marginal cost of pollution abatement for each firm is given in the table below. Unit abated Firm A Firm B 6 3 2 8 5 3 10 7 4 12 9 5 14 6 16 7 18 8 20 What is the social cost of pollution abatement if 75% of pollution is cut in a cost efficient way? 18+16+14+12+10+9+7+5+3=94 6+8+10+12+14+3+5+7+9=74 6+8+10+12=36 3+5+7+9=24

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