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    Maximize Profits

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    Refer to the attached Table: Assume that these firms want to maximize profits. If the government wishes to cut discharge by 50%, it could do so by
    establishing an effluent fee of: .
    $3.00
    $4.50
    $5.50
    $10.00

    © BrainMass Inc. brainmass.com October 10, 2019, 1:08 am ad1c9bdddf
    https://brainmass.com/economics/microeconomics/maximize-profits-322677

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    $5.50 is the right answer.

    At the effluent fee of $5.50, Firms ...

    Solution Summary

    The solution clearly and concisely provides an answer to the problem. A brief answer is given which helps for students who are just looking to confirm their understanding of the problem.

    $2.19