Question

1A)

Deficient information on unsafe products can cause:

	a.	overconsumption of a product.
	b.	waste of resources used to produce a product.
	c.	consumers to pay a higher price for a product.
	d.	all of the above answers are true.
	e.	none of the above answers a. - c. are true.

1B)

Which of the following is the environmental approach found in the Clean Air Act of 1990?

	a.	Price caps.
	b.	Command-and-control regulation.
	c.	Marketable pollution permits.
	d.	EPA marginal social permits.

Answer 1

Question 1A

When consumers do not have complete information with respect to the usage of the unsafe product then they tend to underestimate the dangers of using such a product.

In such a scenario, over-usage can take place.

So, deficient information on unsafe products can cause overconsumption of a product.

Hence, the correct answer is the option (a).

Question 1B

The Clean Air Act of 1990 includes the usage of the marketable pollution permits as a source of reducing pollution or keeping it under allowable limits.

So,

Marketable pollution permits is the environmental approach found in the Clean Air Act of 1990.

Hence, the correct answer is the option (c).