<DIV>Most people would agree that it makes sense to tax a company that pollutes in a way that directly reflects the amount of environmental and social damage it has done. Yet in practice, such taxes are fraught with difficulty and have far-reaching implications. A company facing a new tax may lay off...</div>

This paper introduces to the main policy research issues that the interrelationship between environmental and economic problems has recently emphasised. Economists have traditionally encouraged the use of incentive-based instruments in place of command and control regulation. The starting point...

This paper summarizes research presented at the FEEM-NBER Conference on the Behavioral and Distributional Effects of Environmental Policy, held in Milan Italy in June 1999.