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Two options are being considered to encourage a reduction in emissions: (1) pay polluters $250 for each unit of emissions abated or (2) charge a
Two options are being considered to encourage a reduction in emissions: (1) pay polluters $250 for each unit of emissions abated or (2) charge a tax of $250 on each unit emitted. Which of the following statements are true? Select all that apply. . Question 10 options: The first option would provide a greater incentive to reduce emissions The second option would provide a greater incentive to reduce emissions Rational polluters would reduce their emissions by the same amount under either policy. The first option may end up increasing total emissions in the industry
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