Last Word A Cap And Trade Program - The cap is implemented through a system of allowances that can be traded to minimize costs to affected sources. Web the correct answer is: Where there are spillover (or external) benefits from having a particular product in a society, the government can make the quantity of the product approach the. Companies must hold permits to cover their emissions; Government fixes the maximum amount of a pollutant that firms can discharge and issues permits that firms can buy from and sell to each other. This is contained in the proposed american clean energy and security act of 2009. 1 this legislation requires a 17 percent reduction in emissions of carbon dioxide by 2020 from 2005 levels. Each firm is provided a fixed number of permits for a particular. These permits, often called “allowances,” can be bought or sold at prices determined by supply and demand.
Web the correct answer is: Government fixes the maximum amount of a pollutant that firms can discharge and issues permits that firms can buy from and sell to each other. Where there are spillover (or external) benefits from having a particular product in a society, the government can make the quantity of the product approach the. Companies must hold permits to cover their emissions; This is contained in the proposed american clean energy and security act of 2009. These permits, often called “allowances,” can be bought or sold at prices determined by supply and demand. The cap is implemented through a system of allowances that can be traded to minimize costs to affected sources. 1 this legislation requires a 17 percent reduction in emissions of carbon dioxide by 2020 from 2005 levels. Each firm is provided a fixed number of permits for a particular.