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Pollution Permits and Incentives

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Predict the effects of pollution permits on poor, less-developed areas like Brazil's "valley of death". Assess the effectiveness of incentive programs on manufacturers in less-developed areas. Based on the assessment give an argument in support of either pollution permits or incentive programs.

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Solution Summary

This question assist explains the benefits of pollution permits and incentive programs. It also states why pollution permits are often the best choice in pollution reduction in less developed countries and areas.

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Pollution permits give a firm time to implement pollution control measures over time as opposed to facing the high costs of installing scrubbers or other pollution reductions means immediately. In poor, less developed areas this could mean that pollution levels do not decrease within the specified time frame and may actually increase if there is an uptick in production to try and battle the impending costs of pollution control methods. ...

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