In Some Cases, Selling Pollution Permits Is a Better Method

question 287

Multiple Choice

In some cases, selling pollution permits is a better method for reducing pollution than imposing a corrective tax because

• A)it is hard to estimate the market demand curve and thus charge the "right" corrective tax.
• B)selling pollution permits create a net increase in pollution.
• C)Corrective taxes distort incentives.
• D)Corrective taxes provide greater flexibility to firms that can reduce pollution at a low cost.

---

Definitions:

Radiate

To extend, spread, or emit from a center point or source, such as heat, light, or pain from a specific area of the body.

PQRST

An acronym used in the assessment of pain, standing for Provocation/Palliation, Quality/Quantity, Region/Radiation, Severity Scale, and Timing.

Chest Pain

A sensation of discomfort or pain in the chest area, which can be a symptom of various underlying conditions, ranging from indigestion to heart attack.

Quality

The degree of excellence or superiority of something, often used in the context of products, services, or healthcare outcomes.