Question

How does Command and Control Approach(CAC)approach work? Discuss its advantages.

24 Mar 2026
Answer :
Word Count : 524
The Command and Control (CAC) approach is a traditional regulatory mechanism used in environmental economics to control pollution and manage environmental resources. It operates through direct government intervention by setting specific standards and regulations that polluters must follow. Under this system, authorities determine acceptable levels of emissions, prescribe technologies, or impose performance standards, and enforce compliance through monitoring and penalties. The central idea is that environmental protection can be achieved by mandating behavior rather than relying on market-based incentives. In practice, CAC works by first identifying environmental goals, such as reducing air or water pollution to a certain level. Regulatory bodies then establish emission standards, which specify the maximum allowable level of pollutants that firms or individuals can release. These standards may be uniform across industries or tailored to specific sectors. In addition, technology standards may require firms to install particular pollution-control equipment, such as scrubbers or filters, regardless of their individual cost structures. Once regulations are
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