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Analysis of EPAs Policies - Assignment Example

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The paper "Analysis of EPAs Policies" discusses that the incentives provided for self-policing are huge cutback or the removal of the gravity component of civil penalties, the settlement of not putting forward the criminal execution of the disclosing entity and abstaining from daily audit appeal…
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Analysis of EPAs Policies
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The incentives are appropriate because they provide ease to the businesses and grant some favors of self-policing.
Ans3. The economic-benefit component consists of two variables namely delayed costs and avoided costs. Avoided costs were the maintenance or operational expenses that were to be incurred but were avoided. Whereas, delayed costs are the ones that were postponed by the violation but will be incurred to attain compliance.

On the other hand, gravity-based components are the penalties over and above the economic benefit. The gravity-based component is more effective because in this way businesses will be encouraged to self-police and not to violate.

Ans4. The conditions are that the discovery of violation must be through environmental audits or EMS- Environmental management system; the Discovery of violation must be voluntary; agreement of taking steps for prevention should be there. The violation must be disclosed within 20 days after the discovery by EPA. Within 60 days, the violation must be corrected.

Yes, these are appropriate measures and the time limit is also fine because in this way the businesses will be controlled through a strict check.
Ans5. We have learned the ways of conducting business ethically and this article highlights some rules and regulations that regulate businesses and their environment. It keeps a check and balance that humanity and the environment should not be harmed in the process. EPA’s incentives would help the businesses to be proactive from the start and they would not end up violating the rules, thus doing business ethically.

Ans6. The main aim of any business is profit maximization. If the penalties hinder this objective then they will make sure not to violate the rules. Moreover, to have a good image they will fulfill their corporate social responsibility. Read More
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