In Which of the Following Situations May Tradeable Pollution Permits

question 53

Multiple Choice

In which of the following situations may tradeable pollution permits be preferred to Pigovian taxes?
(i) where they internalise the externality of pollution
(ii) where regulatory agencies do not know the demand curve for pollution
(iii) where the government is not interested in generating maximum revenue from polluting firms

• A)(i) only
• B)(ii) only
• C)(ii) and (iii) only
• D)(i), (ii) and (iii)

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Definitions:

Relaxation Techniques

Methods or practices designed to reduce tension and stress in the body, often involving breathing exercises, meditation, or physical activity.

Biofeedback

A technique that teaches individuals to control bodily processes that are normally involuntary, like heart rate, through monitoring.

Physical Health Effects

The impact on the body's condition, influenced by behaviors, genetics, and environmental factors.

Mental Health Effects

Consequences or impacts on an individual's psychological well-being and functioning.