The graph illustrates the unregulated market for uranium The

The graph illustrates the unregulated market for uranium. The mines dump their waste in a river that runs through a small town. The marginal external cost of the dumped waste is equal to the dumped waste is equal to the marginal private cost of producing the uranium Suppose that no one owns the river and that the government levies a pollution tax.

Solution

The first two question is drawn.

For third answer tax= marginal abetment cost(MAC)

Since MAC is not given we cannot figure it out exactly.