How do command-and-control regulations differ from market-based regulations?

How do command-and-control regulations differ from market-based regulations?

• A. Command-and-control uses market incentives to influence behavior.
• B. Command-and-control relies on voluntary compliance to meet targets.
• C. Command-and-control relies on public persuasion rather than penalties.
• D. Command-and-control imposes specific standards and penalties; market-based uses incentives like taxes, fees, or cap-and-trade to influence behavior.

Answer: (D)