Which of the Following Best Describes How Cap-And-Trade Is a Market-Based

question 28

Multiple Choice

Which of the following best describes how cap-and-trade is a market-based solution for dealing with carbon dioxide emissions?

• A)The market has reduced carbon dioxide emissions without government intervention because companies have self-regulated to remain competitive.
• B)The states have reduced carbon dioxide emissions because the federal government has been unwilling to do so.
• C)Companies that pollute have spent significant money lobbying Congress to grant them exemptions from environmental regulations.
• D)It allows those who reduce emissions to sell credits to those who do not meet environmental standards.

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