Why marketable permits lead to the optimal outcome

Reference no: EM13218722

Many environmentalists, or general members of the public, are horrified by the notion of marketable pollution permits. They argue that big corporations should not be able to buy the right to pollute the environment. Make the counter-argument, from the economics point of view, as to why marketable permits (if done correctly) lead to the optimal outcome.

Reference no: EM13218722

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