We consider the microfoundations controversy from the perspective of economic evolution. Although the analogy between biology and economics has been noted before, it has rarely focused on clarifying the micro–macro distinction in economic theory and modelling. The micro–macro debate is more...

Theoretical and empirical aspects of policy failures due to subsidies are discussed in the context of international trade. A general classification of subsidies that cause environmental externalities is presented. The economic and environmental impacts of producer subsidies on international...

Most insights of environmental economics are in line with the standard neoclassicaleconomic model of rational behaviour, formulated in terms of maximization of utility ingeneral, or profits in particular. The standard theory of environmental policy is a casein point. However, the maximization...

Until recently, the interaction between environmental quality, economic activity and growth is predominantly considered in an a-spatial context. Traditional neoclassical growth theory following Solow/Swan has mainly addressed questions about environmental and resource limits to growth. Recently,...

The relationship between trade and material flows is examined by viewing theglobal economy from the perspective of international material-product chains(MPC). The international MPC covers the complete lifecycle of a material or aproduct in two or more regions, including extraction, production,...