In a cap-and-trade system, companies are charged hefty fees for the permits.

Name: In a cap-and-trade system, companies are charged hefty fees for the permits.
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Quizplus · Accepted Answer

In a cap-and-trade system, companies are allocated or can buy permits to emit a certain amount of pollutants. They are not charged hefty fees for the permits themselves but may buy them from other companies or at auction. The cost is determined by market demand rather than a set fee.

In a Cap-And-Trade System, Companies Are Charged Hefty Fees for the Permits