Multiple Choice
Which of the following is most consistent with a government policy toward pollution as suggested by the Coase theorem?
A) Set strict control of the total pollution level.
B) Impose a tax on producers that pollute.
C) Determine which firms can pollute and which firms cannot pollute.
D) Nationalize industries that pollute.
E) Issue tradable permits for pollution.
Correct Answer:
Verified
Correct Answer:
Verified
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