By taxing pollution, industrialists would have to face the costs of polluting the environment, thereby losing from their profits. There is no economic sense in paying a tax if by preventing pollution in the first place means you do not pay the tax.
Pollution taxes of this kind would send a signal to industrialists and consumers that pollution does not make economic sense, but the prevention of pollution does.
What does pollution does not make economic sense mean?![]()
By taxing pollution, industrialists would have to face the costs of polluting the environment, thereby losing from their profits. There is no economic sense in paying a tax if by preventing pollution in the first place means you do not pay the tax.
Thanks, Anglika.