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Principles of Economics 2e

2nd Edition
Steven A. Greenlaw; David Shapiro
ISBN: 9781947172364

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BuyFindarrow_forward

Principles of Economics 2e

2nd Edition
Steven A. Greenlaw; David Shapiro
ISBN: 9781947172364
Textbook Problem

The rows in Table 12.7 show three market-oriented tools for reducing pollution. The columns of the table show three complaints about command-and-control regulation. Fill in the table by stating briefly how each market-oriented tool addresses each of the three concerns.

Chapter 12, Problem 9SCQ, The rows in Table 12.7 show three market-oriented tools for reducing pollution. The columns of the

To determine

The way in which each market oriented tool addresses to each of the concern.

Explanation
Incentives to go beyond Flexibility about where and how pollution will be reduced Political process creates loopholes and exceptions
Pollution charges In order to reduce pollution, we need to reduce one own c charge. It needs to reduce pollution through any means and method which is fine In this if the charge applies with respect to all the emissions of pollution, and then eventually one needs have no loopholes.
Marketable permits One can reduce pollution that can be sold through an extra pollution permits...

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