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Assessment: Economic Policy towards the Environment


  • Helm, Dieter
  • Pearce, David W


The article presents an overview and assessment of economic policy toward the environment. The first part reviews the core theoretical literature. A classification of environmental externalities, differentiated by institutional contexts, is presented. Conventional economic theory approaches are reviewed with their associated strong informational assumptions. These are then relaxed, demonstrating why cooperative solutions to global externalities may prove hard to achieve. Having reviewed the theoretical nature of environmental problems, the article then turns to policy options--including privatization, taxes, and marketable permits--and presents a number of suggestions for future policy. Copyright 1990 by Oxford University Press.

Suggested Citation

  • Helm, Dieter & Pearce, David W, 1990. "Assessment: Economic Policy towards the Environment," Oxford Review of Economic Policy, Oxford University Press, vol. 6(1), pages 1-16, Spring.
  • Handle: RePEc:oup:oxford:v:6:y:1990:i:1:p:1-16

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    Cited by:

    1. Xavier Delache & Sylviane Gastaldo, 1992. "Les instruments des politiques d'environnement," Économie et Statistique, Programme National Persée, vol. 258(1), pages 27-34.
    2. Jotzo, Frank & Mazouz, Salim, 2015. "Brown coal exit: A market mechanism for regulated closure of highly emissions intensive power stations," Economic Analysis and Policy, Elsevier, vol. 48(C), pages 71-81.
    3. Young, Trevor, 1990. "The Environmenta and International Trade," Manchester Working Papers in Agricultural Economics 232827, University of Manchester, School of Economics, Agricultural Economics Department.
    4. A.G. Conway, 1991. "Fonction des instruments économiques pour la réconciliation des politiques agricoles et environnementales suivant le principe pollueur-payeur," Économie rurale, Programme National Persée, vol. 205(1), pages 44-52.
    5. Price, T. J. & Probert, S. D., 1995. "Role of road transport in UK's energy policy," Applied Energy, Elsevier, vol. 50(1), pages 1-22.
    6. Oana - Catalina Tapurica & Florin TACHE, 2011. "Quantifying Social Objectives Aiming Pollution Control – An Economic Perspective Upon Strategic Management And Project Management," Review of General Management, Spiru Haret University, Faculty of Management Brasov, vol. 14(2), pages 130-138, November.
    7. Crabbé, Philippe, 1990. "Les économistes doivent-ils se mettre au vert?," L'Actualité Economique, Société Canadienne de Science Economique, vol. 66(3), pages 285-304, septembre.
    8. Halkos, George, 2000. "Determining optimal air quality standards: Quantities or prices?," MPRA Paper 42849, University Library of Munich, Germany.

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