_______ and _______ are two incentive approaches to reducing pollution.

Question

Quizplus · Accepted Answer

Both emissions taxes and marketable pollution permits are incentive approaches to reducing pollution. Emissions taxes work by increasing the cost of producing pollutants, therefore giving firms an incentive to reduce their emissions in order to avoid the tax. Marketable pollution permits work by setting a limit on the amount of pollutants that can be emitted, and firms can buy and sell permits. This creates an incentive for firms to reduce their pollution levels so that they can sell any excess permits they have. Moral suasion and command-and-control are not incentive approaches; rather, they rely on regulation and enforcement to promote compliance with pollution reduction goals.

_______ and _______ Are Two Incentive Approaches to Reducing Pollution

_ and _ Are Two Incentive Approaches to Reducing Pollution