In the case of ________,instead of competing for scarce resources (like the right to pollute),companies purchase the rights to pollute or to use scarce resources.

Question

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Tradable environmental allowance arrangements, also known as cap and trade, allows companies to purchase the right to pollute or use scarce resources from others who may have exceeded their limit or have unused allowances. This approach incentivizes companies to reduce their emissions and resource use to stay within their allocated limit while providing flexibility and efficiency in the use of resources.

In the Case of ________,Instead of Competing for Scarce Resources