New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    Which statement about carbon credits is

    incorrect?
    A A carbon credit permits the holder to emit one tonne of carbon dioxide. Correct Answer Incorrect Answer
    B Carbon credits can be bought voluntarily to lower carbon emissions. Correct Answer Incorrect Answer
    C The carbon credit system was initiated by the Kyoto Protocol. Correct Answer Incorrect Answer
    D Carbon credits are traded at a fixed price. Correct Answer Incorrect Answer

    Solution

    Carbon credits are not traded at a fixed price; instead, their prices are determined by market dynamics of supply and demand. The carbon credit system, introduced by the Kyoto Protocol, helps countries and companies regulate their carbon emissions by purchasing credits.

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