SOCIALLY OPTIMUM AMOUNT OF POLLUTION

What do economists mean by the 'socially optimum amount of pollution'?

What do economists mean by the 'socially optimum amount of pollution'?

Introduction

Economists do not see problem of the pollution as one of eradicating it, but of finding “optimum” amount of the pollution, allowing for the costs, as well as benefits, of pollution abatement. For most economists, however, pollution problems are purely technical issues, i.e. how do you delete it, not how much should one reduce it? To hear some economist on the issue of water pollution, for example, has the firm impression that regard the proper ...