Consider the following methods of pollution reduction: a. the government sets a target for maximum emissions
B. the government mandates the installation of specific pollution abatement equipment
C. the government imposes a per unit tax on the good that creates pollution
D. the government gives firms a tax rebate for every unit of pollution abated
Which of the above is an example of a command and control approach to reducing pollution?
A) a only
B) b only
C) a and b only
D) a, b, c, and d

Question

Quizplus · Accepted Answer

A command and control approach involves the government mandating specific actions that firms must take to reduce pollution. Options A and B both involve government mandates, but option C (imposing a per unit tax) is a market-based approach that incentivizes firms to reduce pollution on their own. Option D (giving tax rebates for pollution abatement) is also a market-based approach, but it does not involve government mandates. Therefore, options A and B are command and control approaches, while options C and D are market-based approaches. Only option C is not a command and control approach.

Consider the Following Methods of Pollution Reduction: A