Marginal social benefits of pollution can be thought of as __________.

Question

the marginal benefit of increased taxation

the avoidance of costs of pollution reduction or abatement

the marginal cost of reducing pollution

the additional utility brought on by increased production

Answer 1

Marginal social benefits of pollution can be thought of as the additional utility brought on by increased production.

This perspective recognizes that some level of pollution may be accepted because it is associated with increased economic activity and production, which provides benefits to society.