In a model where firms face a continuous choice of how much to invest in environmental innovation, we show that an ever stricter environmental policy does not always lead to ever cleaner production methods and ever lower production of polluting goods. It does so when the abatement technology is...

This Handbook presents methods to advance the understanding of interdependencies between the well-being of human societies and the performance of their biophysical environment. It showcases applications to material and energy use; urbanization and technological transition; economic growth and...