Comprehensive Analysis: CO2 Emission and Government Policies

This report delves into the complexities of climate change, attributing it to the negative externalities inherent in production processes. It meticulously examines the role of government interventions, specifically subsidy policies, in mitigating environmental pollution. The analysis reveals that subsidies can yield both positive and negative environmental consequences, prompting a critical assessment of green technology's efficacy in pollution reduction. Furthermore, the paper advocates for the adoption of renewable energy sources to conserve environmental resources and combat climate change. The report also discusses externalities in the context of climate change, the Coase theorem, and the impacts of non-renewable energy industries. It emphasizes the need for new market strategies that prioritize renewable energy and green technologies, ultimately supporting economic sustainability and environmental protection.