Directions: A statement is given followed by two inferences I and II. You have to consider the statement to be true even if it seems to be at variance from commonly known facts. You have to decide which of the given inferences, if any, follow from the given statement.

Statement: One way to cut effluents while earning revenues is to price the carbon content of domestic production and imports.

Inference:

I.Domestic production leads to the generation and release of carbon-related compounds into the environment.

 II.Production and release of carbon-generated compounds are undesirable.