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A robot factory is located next to a student dormitory, and the production noise prevents the students from sleeping. The graph below shows the Marginal Private Cost (MPC) and Marginal Social Cost (MSC) of robot production. The robot market is competitive, and the market price is . If a court rules that students have the right to sleep quietly, what is the maximum amount the factory would offer to produce at the Pareto-efficient level of production?

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Pareto-efficient level of production occurs where the market price equals the MSC, that is, under . The firm's profit under this output is equal to the area of a trapezoid between the price and the .

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