Which of the following is the term for a quantity regulation that is implemented by allocating a fixed number of permits to producers, which can then be traded?

Question

Quizplus · Accepted Answer

The term for a quantity regulation that is implemented by allocating a fixed number of permits to producers, which can then be traded is "cap and trade." In this system, there is a cap on the total amount of pollution or emissions that can be released, and permits are allocated to companies for a certain amount of emissions. Companies who emit less than their allotted amount can sell their remaining permits to other companies who need them to continue operating. This creates a market for the permits and encourages companies to innovate and reduce their emissions.

Which of the Following Is the Term for a Quantity