📚 Learning Guide
Energy Policy Analysis
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Classify the following energy policy approach: 'A government initiative that incentivizes residential solar panel installation through tax credits and rebates.' Which category does this policy best fit into?

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Learning Path
Learning Path

Question & Answer
1
Understand Question
2
Review Options
3
Learn Explanation
4
Explore Topic

Choose the Best Answer

A

Regulatory Policy

B

Economic Incentive Policy

C

Environmental Policy

D

Energy Security Policy

Understanding the Answer

Let's break down why this is correct

Answer

This approach is a renewable‑energy incentive policy that targets demand‑side behavior. By giving tax credits and rebates, the government lowers the cost of installing solar panels, making the investment more attractive to homeowners. The goal is to increase the share of renewable electricity in the grid by encouraging households to adopt solar technology. For example, a homeowner who pays $5,000 for panels might receive a $1,500 rebate, effectively reducing the cost to $3,500.

Detailed Explanation

The policy gives money back or lowers taxes for people who install solar panels. Other options are incorrect because Regulatory Policy means the government tells people what they must or must not do; Environmental Policy usually involves laws to protect nature.

Key Concepts

Energy Policy Analysis
Economic Incentives
Renewable Energy Promotion
Topic

Energy Policy Analysis

Difficulty

medium level question

Cognitive Level

understand

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