Which of the Following Statements Is Correct

question 112

Multiple Choice

Which of the following statements is correct?

• A)​The ideal solution to a pollution problem is to reduce pollution until it is technologically impossible to reduce it any further.
• B)​The ideal and fair solution to a pollution problem is to impose identical compliance standards on all polluting firms.
• C)​Charging firms for transferable emissions permits is a more efficient way of dealing with pollution than are compliance standards.
• D)​A per-unit pollution tax is a more efficient way of dealing with pollution than is a system of transferable emissions permits.

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Definitions:

Closely Held Corporation

A type of corporation that is privately owned, with a small number of shareholders, typically involving family or close acquaintances.

Shareholder

An individual or entity that owns one or more shares of stock in a corporation, making them a partial owner of the company.

Negligent Acts

Conduct that falls below the standards of behavior established by law for the protection of others against unreasonable risk of harm.

Fiduciary Duty

A legal obligation of one party to act in the best interest of another when entrusted with certain tasks, typically related to financial management or care.