When the government attempts to reduce climate change by establishing a minimum level of fuel efficiency on new cars,it is using a(n):
A)environmental standard.
B)emissions tax.
C)Pigouvian tax.
D)tradable emissions permit.

Question

Quizplus · Accepted Answer

The government is establishing a standard for fuel efficiency on new cars in order to reduce the amount of emissions and therefore combat climate change. This is an example of an environmental standard.

When the Government Attempts to Reduce Climate Change by Establishing