Emissions trading systems known as _______________ involve federal controls that limit the amount of pollution permitted combined with a market in which businesses can trade licenses to pollute.
A) Cap and Trade
B) Chicago Climate Exchange
C) Kyoto Protocol
D) all of the above
E) none of the above

Question

Quizplus · Accepted Answer

The description matches the concept of Cap and Trade, where the government sets a cap on emissions, issues permits or allowances for a certain level of emissions, and allows trading of those permits among businesses to achieve the overall reduction goal. The Chicago Climate Exchange is one of the platforms where such trades can take place, and the Kyoto Protocol was an international agreement that included Cap and Trade mechanisms. However, choices B and C are more specific than the general concept described in the question, and hence, not the best answer.

Emissions Trading Systems Known as _______________ Involve Federal Controls That