Final answer:
A graphical representation can prove that a technological change lowering marginal abatement costs leads to better environmental quality by showing the increased quantity of pollution reduction at a new, lower cost equilibrium, thanks to cost-effective technological advancements.
Step-by-step explanation:
To prove graphically that a technological change that lowers marginal abatement costs (MAC) can lead to higher levels of environmental quality, we begin by sketching two marginal cost curves on a graph, with the quantity of environmental protection on the horizontal axis and the marginal cost to reduce pollution (MAC) on the vertical axis. The first MAC curve illustrates the initial costs of pollution reduction, while the second, lower MAC curve reflects the reduced costs due to technological advancement. Along with these curves, we also sketch a marginal benefit (MB) curve that shows the benefits of reducing pollution, typically high at low levels of pollution reduction and decreasing at higher levels.
At the initial higher marginal cost condition, the equilibrium point (where MAC equals MB) is at a lower quantity of environmental protection. But, as technological change lowers the marginal abatement costs, the new equilibrium is established at a point where the MAC curve intersects the MB curve at a higher quantity of environmental protection. This shift to a higher quantity indicates that it is now more cost-effective to reduce more pollution, hence leading to higher environmental quality.
The graph would show a rightward shift in the equilibrium quantity of pollution reduction, illustrating how technological advancement that lowers MAC can indeed result in improved environmental quality.