________ is(are) an example of selling externality rights.
A) Auctioning the right to buy a car each year
B) Direct regulation of externalities
C) Having the damaged party avoid the damage
D) Government imposed taxes and subsidies

Question

Quizplus · Accepted Answer

Auctioning the right to buy a car each year is an example of selling externality rights, as it involves a market-based approach to allocate the right to engage in activities that have external effects.

________ Is(are) an Example of Selling Externality Rights