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An Important Reason That Direct Controls Are Usually Inefficient in Reducing

Question 59

Multiple Choice

An important reason that direct controls are usually inefficient in reducing pollution is that


A) they create new pollution as they eliminate existing pollution.
B) different firms have different marginal costs of pollution abatement.
C) it costs too much to make sure that firms comply with the regulations.
D) they generally garner little political support and thus eventually fail.
E) firms have little incentive to comply with them.

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