1. Correct Answer: Option A: Both Statement II and Statement III are correct and both of them explain Statement I.
 2. Explanation: The circular economy is a sustainable model that emphasizes the reuse, recycling, and efficient use of resources, thereby creating a closed-loop system. Statement I is correct because the circular economy reduces greenhouse gas emissions by minimizing waste and lowering resource consumption. Statement II is correct as it reduces the use of raw materials by promoting recycling and reuse, thus conserving finite resources. Statement III is also correct because it targets waste reduction in production through efficient design and resource reuse. Both Statements II and III contribute to the reduction of greenhouse gas emissions, explaining Statement I. Therefore, Option A is the correct answer.