42. What is the risk associated with carbon markets?
(A) Reduced revenue for governments, leading to decreased investment in climate change
mitigation and adaptation measures.
(B) Insufficient demand for carbon permits, leading to economic stagnation.
(C) Increased carbon emissions, due to the lack of incentive for businesses and individuals to
reduce their emissions.
(D) Speculation and market manipulation, which could undermine the effectiveness of carbon
pricing.
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