Direct Governmental Regulation - 3
¥problem areas:
use of ÒsameÓ standards internalizes only part of the external costs
fails to make use differing physical geographic environments
requiring ÒsameÓ technology discourages development of better & cheaper pollution control and resource conservation technology
can force out small firms lacking sufficient investment capital
standards & regulations tend to be ones that are enforceable rather than optimal
problems with overlapping & conflicting jurisdictions
complaints that ÒpollutersÓ donÕt pay for damages
lobbying efforts can delay & weaken compliance via courts, revised legislation & administrative procedures