Setting emissions standards for each industry, while allowing companies to trade "carbon credits," is an approach to environmental policy known as ________.

Question

Quizplus · Accepted Answer

The approach described best matches the cap and trade system, where emissions are capped, and companies can trade credits (allowances) for their emissions. This system is often used to incentivize companies to reduce their emissions and can be found in various global environmental policies, including the Kyoto Protocol. The other choices do not accurately describe the described approach.

Setting Emissions Standards for Each Industry, While Allowing Companies to Trade