Explain the concept of market-based environmental justice.

Explain the concept of market-based environmental justice.

Market-based environmental justice refers to the approach of addressing environmental externalities through market mechanisms. It involves using economic incentives, such as taxes, subsidies, and tradable permits, to internalize the costs of environmental damage and promote sustainable practices. This approach aims to align economic incentives with environmental goals, allowing market forces to drive environmentally friendly behavior. By assigning a price to environmental externalities, market-based environmental justice seeks to create a more efficient and equitable allocation of resources, while also encouraging businesses and individuals to reduce their negative impact on the environment.