The core problem of a command-and-control approach to environmental policy is its inherent bias or tendency to standard-setting practice that is uniformly applicable to all situations. For example, the ambient-air-quality standards in the United States are basically nationalT.hi s may have serious efficiency and ecological implications because regional differences in terms of the factors affecting damage- and control-cost relationships are not effectively captured. Comment. Would considerations of transaction costs have a bearing to your response to this question? Why or why not?