A System of Transferable Pollution Rights

question 107

Multiple Choice

A system of transferable pollution rights:

• A)​increases the quantity of pollution generated.
• B)​provides firms with an incentive to develop new pollution-abatement technologies.
• C)​is not as cost-effective in reducing pollution as a system based on compliance standards.
• D)​is characterized by none of the above.

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Definitions:

Scientific Revolution

A period of significant advancements and developments in the fields of science during the 16th and 17th centuries, fundamentally changing the understanding of the natural world.

Postindustrial Revolution

A phase of societal development marked by a shift from manufacturing-based economies to service-oriented, information-based economies.

Primary Sector

The part of the economy that involves the extraction of raw materials from the environment, such as agriculture, fishing, and mining.

Economy

The comprehensive system of production, distribution, and consumption of goods and services within a society.