Direct Pollution Controls Are Likely to Be Inefficient Because

question 41

Multiple Choice

Direct pollution controls are likely to be inefficient because

• A) the cost of reducing pollution is greater than the benefit.
• B) firms are not likely to comply with this method of government intervention.
• C) firms' output will rise above the socially optimal amount.
• D) firms with different pollution abatement costs are facing identical regulations.
• E) direct controls are impossible to monitor.

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Definitions:

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