A Market for Pollution Rights Can Be Expected to

question 68

Multiple Choice

A market for pollution rights can be expected to

• A) eliminate all pollution.
• B) produce a shortage of pollution.
• C) encourage potential polluters to increase emissions.
• D) provide potential polluters with a monetary incentive to reduce emissions.

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Definitions:

Normal Curve

A symmetrical, bell-shaped curve that represents the distribution of values, deviations, or probabilities for a set of data in which most measurements cluster around the mean.

Bell-Shaped

A bell-shaped curve is a graph of a distribution that resembles the shape of a bell, typically representing a normal distribution in which the bulk of the values lie towards the center and taper off symmetrically towards the extremes.

Standard Deviation

A measure of the dispersion or variability within a set of numerical data, indicating how spread out the values are.

Mean

The arithmetic average of a set of numbers, found by dividing the sum of all the numbers by the count of the numbers.