Tradable Permits Are a New Idea but Are Likely to Be

question 42

True/False

Tradable permits are a new idea but are likely to be an increasingly common method of reducing pollution in the future.

---

Definitions:

Distributor

A merchant who purchases goods from a seller for resale in a foreign market.

GATT

The General Agreement on Tariffs and Trade, a multilateral treaty aimed at reducing trade barriers and promoting international trade through the elimination of or reduction in tariffs, quotas, and subsidies.

Tariffs and Trades

Government-imposed taxes on imported goods, often used to control trade balances and protect domestic industries.

Self-executing

describes a document, rule, or law that becomes effective immediately without the need for any additional action, enforcement, or formal ratification.