题目内容
Cost-effectiveness occurs when marginal abatement costs equal marginal damages.
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A policy is cost-effective if it achieves a given amount of environmental improvement at the least possible cost.
Centralised Policy means agovernment agency determines what is to be done and must have knowledge of marginal abatement costs and marginal damage functions.
Decentralised Policy means agovernment agency determines what is to be done and must have knowledge of marginal abatement costs and marginal damage functions.
Decentralised Policy gets results from the interaction of many individual decision makers and individual interactions reveal information about marginal abatement costs and damage functions.
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