Optimal Pollution and Pollution Reduction: An Overview

Environmental Economics: I introduce the Marginal Abatement Cost (MAC) curve, also known as the Marginal Cost of Reduction (MCR). I Introduce Marginal damages to the environment. I then explain why the market often/usually has too much pollution, why there is an optimal level of pollution, and why we want to get the right amount of pollution reduction, but not too much.