The Clean Air Act Amendments of 1990 addressed efficiency through a tradable permits system and the distributive consequences were addressed through a number of special provisions called ________.

Question

Quizplus · Accepted Answer

The Clean Air Act Amendments of 1990 introduced a tradable permits system, also known as an allowances system, which aimed to increase efficiency in reducing emissions. The distributive consequences were addressed through a number of special provisions called allowances, which were distributed to affected industries based on their historical levels of emissions. These allowances could then be bought, sold, or traded among industries, providing an economic incentive to reduce emissions. Therefore, the correct answer is B) allowances.

The Clean Air Act Amendments of 1990 Addressed Efficiency Through