cid rain is formed when NOx and sulfur dioxide react with other substances to form acids that fall to the earth as rain, snow, fog, or dry particles. Acids can be carried by the wind for hundreds of miles. Acid rain damages forests, cars, and buildings. Acid rain contaminates lakes and streams, making it unsuitable for fishes to live in. Water quality deterioration happens when heavy amounts of nitrogen are in water bodies that upset the chemical balance of nutrients used by aquatic plants and animals. A large amount of nitrogen in water bodies can lead to oxygen depletion and reduces fish and shellfish populations. Clearly, these four problems cannot be ignored and either government or society needs to help reduce the quantity of NOx in the air.
One way the government could control the level of NOx in the air is through command and control. Command and control is when the government places constraints on the behavior of households and firms. If households or firms choose not to follow the government's laws then they will suffer a penalty established by the government. For example, the government requires every car to have a catalytic converter on automobiles, sulfur and nitrogen removing scrubbers on the smokestacks of coal-burning utilities, and banning the use of leaded gasoline. Also the government puts restrictions on emissions limitations on the exhaust o
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