Suppose that the Total Social Benefit associated with drinking water quality is estimated to be TSB = 300A A2, where A is the percentage of mercury abated from drinking water and TSB is measured in millions of dollars. And the governments marginal cost of enforcement equals 140 and MACMKT = 60+3A.

Find the marginal social cost (MSC) of abatement function and then find marginal social benefit (MSB) function associated with a federal policy that increases mercury abatement to 20 percent. Is 20% of abatement efficient? Solve for the efficient level of abatement. Explain.