What is the role of regulation

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Reference no: EM133043548 , Length: word count:1500

PRINCIPLES OF FINANCIAL ECONOMICS

Assessed Essay

A short while ago, it was announced that Airbus believes that hydrogen-fuelled aircraft are technically viable, and could start service by 2035, drastically reducing airlines' CO2 emissions (see Financial Times 26 September 2021). However, Airbus also said that in order to develop such aircraft it requires 'a degree of certainty about the regulatory environment and the availability of [hydrogen] fuel'. Why is an environment with available fuel such an important component in Airbus' decision? What is the role of regulation and/or carbon taxation in delivering such an environment? Might other public policy, such as applying to the public's sense of social responsibility, be an alternative? Discuss.

You should answer the following question in no more than 1,500 words.

To write the essay there is no need for extensive research.

Reference no: EM133043548

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