Market incentives do not play a role in pollution behavior.

Question

Quizplus · Accepted Answer

Market incentives can have a significant impact on pollution behavior. For example, if the government imposes a tax on carbon emissions, companies will have an economic incentive to reduce their emissions to avoid paying the tax. Similarly, if consumers demand products that are eco-friendly, companies will respond by developing and marketing such products to meet consumer demand.

Market Incentives Do Not Play a Role in Pollution Behavior