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Two cities face identical prices for their housing. City A decided to be a pollution free city "Clean town" and all the factories would locate in city B "Smogville", in equilibrium, we expect to see a.​a compensating differential between the prices of housing between the two cities b.​the prices of housing in both the cities to be identical c.​The prices of housing in B to be higher d.​All of the above
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Two cities face identical prices for their housing. City A decided to be a pollution free city "Clea...
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