CHAPTER 20 GOVERMENT INTERVENTION IN MARKETS Flashcards
1
Q
Cap and trade schemes
A
Schemes which set a limit on a particular type of pollution, and then issue pollution permits to the total of that limits which can be bought and sold between firms which can pollute.
2
Q
Trade pollution permit or pollution permit or pollution credit.
A
A permission issued, usually by a government, to allow a fixed amount of pollution to be created; this permit can be used by the owner or sold to another firm.
