Mobil Oil Corporation recently bought the right to emit an additional 900 pounds of noxious gas vapors per day at its Torrance, California, refinery.This suggests that allowing pollution rights to be marketed is likely to lead to more pollution than there would be if there were no restrictions on polluting.

Question

Quizplus · Accepted Answer

Allowing pollution rights to be marketed does not necessarily lead to more pollution; it can incentivize companies to reduce emissions to sell their allowances, potentially leading to overall lower emissions if the cap is set effectively.

Mobil Oil Corporation Recently Bought the Right to Emit an Additional