Instruments for Environmental Policy

In its work of contributing to environmentally sustainable development, Sida has attached considerable importance to environmental economics for many years, partly for analytical purposes and partly as a tool for change. This paper discusses the design of policy instruments, and describes how we can use them to overcome various environmental problems. It describes, for example, how environmental economics can be applied in practice to give us cleaner air or a more sustainable use of natural resources. It provides an insight into how environmental issues can be related to social and economic issues.