Emission controls on automobiles are an example of a
A)corrective tax.
B)command-and-control policy to increase social efficiency.
C)policy that reduces pollution by allocating resources through market mechanisms.
D)policy to reduce congestion on urban freeways.

Question

Quizplus · Accepted Answer

Emission controls on automobiles are implemented through command-and-control policies, which are regulations that directly require certain behaviors or limit certain activities. The purpose of these policies is to increase the social efficiency of automobile use by reducing pollution. Corrective taxes and policies that allocate resources through market mechanisms are examples of market-based policies, which are designed to provide incentives for individuals and firms to reduce pollution or conserve resources. Emission controls do not directly address traffic congestion, although reducing pollution may indirectly alleviate congestion by reducing the number of cars on the road.

Emission Controls on Automobiles Are an Example of a