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Corrective Tax
A tax designed to encourage or discourage certain behaviors or activities by including the cost of externalities, aimed at correcting market outcomes to reflect social costs or benefits.
Supply Curve
A graphical representation showing the relationship between the quantity of a good supplied and its price.
Pollution Rights
Tradable permits or licenses that allow the holder to emit a certain amount of pollution; used as an economic tool for controlling and reducing environmental degradation.
Pollution Permits
Allowances issued by governments that give companies the right to emit a certain amount of pollutants, intended to reduce overall pollution by market mechanisms.
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