A carbon credit is a unit used in emissions trading schemes that typically corresponds to one tonne of carbon dioxide equivalent reduced or removed from the atmosphere. Firms or countries that over achieve their targets can sell surplus credits to others. The stem describing a tradable certificate for one tonne of emissions reduction fits this definition exactly,so carbon credit is the correct term.
Option A:
Carbon credit schemes aim to lower overall mitigation costs by allowing reductions where they are cheapest. They also create financial incentives for emissions saving projects. This function aligns with the trading and reduction emphasis in the question.
Option B:
Carbon footprint refers to the total greenhouse gas emissions associated with an activity,person or product. It is a measure of impact,not a tradable certificate,so it does not match the stem.
Option C:
Carbon tax is a levy on carbon content of fossil fuels or on emissions themselves. It is a fiscal policy instrument rather than a unit that can be bought and sold in markets,so it is not the correct option.
Option D:
A carbon sink is a process or reservoir,such as forests or oceans,that absorbs more carbon than it emits. While projects that enhance sinks can generate carbon credits, the sink itself is not the tradable certificate described in the question.
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