Market-oriented environmental tools for firms to take the social costs of pollution into account and in reacting to these incentives.

The correct sentence is:

Market-oriented environmental tools create incentives for firms to take the social costs of pollution into account and allow firms some flexibility in reacting to these incentives.

Explanation:

Environmental management tools offer companies in general the possibility of improving many of their actions or resulting products in relation to the environmental issue. In this way, they not only do not fulfill the social responsibility they have regarding compliance with current regulations for each type of activity, but also assume and fulfill a more ethical responsibility for their environment. The use of environmental management tools helps these companies to have a real knowledge of what their activity means to the environment and what kind of measures they have to take to improve, among other issues.

answerpublic goods;