Organizers at the state and local level identify that air pollution is responsible for higher incidences of lung cancer. The air pollution is traced to factories that employ a substantial number of state residents. Organizers, unable to coordinate a reduction in the industry's pollution generation, ask state legislators for help. In the end, state legislators provide tax incentives for the company to retrofit their factories with green technology and reduce pollution emissions. Explain how civil society and institutions in this case are contributing to the public good.

A. Civil society institutions interact with governmental and business spheres through network governance.
B. Civil society institutions interact with the governmental sphere through legal governance.
C. Civil society institutions interact with the business sphere through private governance.
D. Governmental and Business spheres interact through market governance.

A. Civil society institutions interact with governmental and business spheres through network governance.

Explanation: In this scenario, civil society institutions, exemplified by local organizers, are engaging with both the governmental and business spheres to address a public concern—in this case, air pollution causing higher incidences of lung cancer. The interaction among these groups to negotiate and implement solutions that serve the public good is an example of network governance.

Network governance involves multiple stakeholders, including non-governmental organizations, community groups, government agencies, and businesses, working collaboratively to solve complex problems that none could solve on their own. By providing tax incentives for businesses to adopt green technologies, the state legislators are using policy tools to incentivize positive action in the private sector, reflecting an interplay between different sectors to produce a beneficial societal outcome.

Legal governance (B) would be more focused on the enactment and enforcement of laws and regulations. Private governance (C) refers to the self-regulation by businesses without direct government intervention. Market governance (D) involves interactions that are driven purely by market forces without direct collaborative efforts to achieve a public good. In this case, the situation is best described by network governance, where deliberate collaborative efforts across different sectors are being employed to mitigate pollution and improve public health.