Which of the Following Is an Environmental Policy Based on Tradable

question 79

Multiple Choice

Which of the following is an environmental policy based on tradable emission permits?

• A) a charge to companies of $1 for every 100 units of pollutants emitted
• B) paying companies $1 for each 10% reduction in emissions
• C) allowing companies to buy and sell the right to a certain level of emissions
• D) ignoring pollution and letting private markets operate without government interference

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Definitions:

Profit Centers

Segments or areas of a business that are responsible for generating their own revenues and profits.

Incentives

Rewards or penalties designed to encourage or discourage specific behaviors among individuals or groups, often used in economic and business contexts.

Information

is data that is processed, organized, or presented in a manner that makes it meaningful and useful for decision-making, learning, or analysis.

Firm Division

A segment or branch of a firm that operates under the larger corporate umbrella, focusing on specific operational tasks or market sectors.