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Question: problem 1 externality warrenia has two regions in oliviland the...

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Problem 1: Externality Warrenia has two regions. In Oliviland, the marginal benefit associated with pollution cleanup is MB 300-10Q, while in Linneland, the marginal benefit associated with pollution cleanup is MB 200-4Q. Suppose that the marginal cost of cleanup is constant at $12 per unit. What is the optimal level of pollution cleanup in each of the two regions?
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