pollution-reduction policy, this is an example of
A would develop for these coupons.
5. Fill in the blanks to make the following statements correct.
a. The emission of greenhouse gases is a good example of a
externality. Firms and individuals have not
internalized the.
b. Geographically, the externalities associated with
greenhouse-gas emissions are a(n) problem,
which was the motivation behind the of 1997.
c. It is estimated that, in order to stabilize Earth’s climate,
the annual flow of global GHG emissions must fall by
approximately percent from its current level.
d. Most economists believe that it is necessary to impose a
on GHG emissions, which would force polluters
to the externality. Two market-based policy
options to achieve this outcome are a(n) and a(n)
system.
