Socially optimal quantity of pollution

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Socially optimal quantity of pollution is the amount of pollution a society or environment is willing to tolerate without incurring upon great costs or suffering harm to health, environment or the economy. The optimal pollution quantity should be set such that the marginal benefit of reducing pollutants is just enough to offset the marginal cost of steps taken to reduce pollutants in the environment. The optimal quantity is established when the sum of the marginal benefits collides with the sum total of the marginal costs. This means that the sum of the benefits of reducing pollutants should just be good enough to cover the costs of cutting down air pollution.

Answered by jeffreycooper

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