9. Branding Iron Products a specialty steel fabricator operates a plant in the town of West Star Texas. The Town has grown rapidly because of recent discoveries of oil and gas in the area. Many of the new residents have expressed concern at the amount of pollution (primarily particulate matter in the air and waste water in the towns river) emitted by Branding Iron. Three proposals have been made to remedy the problemA. impose a tax on the amount of particulate matter and the amount of waste water emitted by the firmB. prohibit pollution by the firmC. Offer tax incentives to the firm to clean up its production processes.Evaluate each of these alternatives from the perspectives of economic efficiency equity and likely long term impact on the firm
