Which of the following is the most efficient way to reduce pollution emissions?
A) emission standards that cap allowable pollution
B) government pollution charges or taxes
C) legislated regulations limiting the quantity of emissions allowed by each firm
D) enforcement of property rights, when those rights are well-defined and transaction costs are low

Question

Quizplus · Accepted Answer

Enforcement of property rights, when well-defined and with low transaction costs, allows for negotiation and market-based solutions, leading to efficient pollution reduction through mechanisms like tradable permits.

Which of the Following Is the Most Efficient Way to Reduce