The government uses the following methods to regulate pollution. Which of these results in the most pollution reduction by the firms with the lowest cost of pollution reduction and the least pollution reduction by the firms with the highest reduction costs?
A. Legal limits combined with fines and tradable permits
B. Taxes and tradable permits
C. Legal limits combined with fines, taxes, and tradable permits
D. Legal limits combined with fines and taxes
E. Legal limits combined with fines
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