Economic Approaches to Environmental Problems

Economic Approaches to Environmental Problems

Techniques and Results of Empirical Analysis

1st Edition - January 1, 1978

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  • Authors: D. E. James, H.M.A. Jansen, J.B. Opschoor
  • eBook ISBN: 9781483257044

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Fundamental Aspects of Pollution Control and Environmental Science, 3: Economic Approaches to Environmental Problems: Techniques and Results of Empirical Analysis focuses on the application of economic approaches in the management and control of environmental problems. The book first offers information on the relationship of economics and the environment and environmental pollution and external effects. Discussions focus on concepts of the environment, environmental services, need for assessment methods, health effects of air pollution, and annoyance and other health effects due to aircraft noise. The text also examines the homogeneous pollution approach and monetary damage functions. The publication takes a look at project evaluation and environmental deterioration and general-equilibrium assessment models. Topics include linear programming models, aggregation of flows of costs and benefits through time, projects, effects, and aggregation, and illustrations of cost benefit. The selection is a dependable reference for readers interested in the economic approaches to environmental problems.

Table of Contents

  • Preface

    Chapter 1. Economics and the Environment

    The Scope of Economic Analysis

    Neoclassical Welfare Theory

    Concepts of the Environment

    Environmental Services

    Environmental Decisionmaking

    The Need for Assessment Methods

    Some Alternative Views

    References Chapter 1

    Chapter 2. Environmental Pollution and External Effects


    External Effects Defined

    Relevant External Effects

    Pollution as External Effect

    Physical Damage Functions

    Some Health Effects of Air Pollution

    Annoyance and Other Health Effects Due to Aircraft Noise

    Some Conclusions

    Literature Chapter

    Chapter 3. Costs and Benefits of Pollution Control — The Homogeneous Pollution Approach


    a Model of Optimal Pollution

    Ecologic and Economic Optima

    Environmental Quality

    Evaluation Problems

    Final Remarks

    Literature Chapter

    Chapter 4. Monetary Damage Functions


    Neoclassical Value Judgments

    Individual Monetary Damage Functions

    Problems of Individual Welfare

    Societal Damage Functions

    Methods of Measuring Monetary Damage

    Conclusions and Final Remarks

    Appendix 4A. Pollution and House Prices

    Appendix 4B. Welfare Effects of Noise

    Appendix 4C. Estimates of Pollution Damage on Nationwide Scale

    Literature Chapter 4

    Chapter 5. Project Evaluation and Environmental Deterioration

    Projects, Effects, Aggregation

    Cost-Benefit Analysis As Applied Welfare Economics

    The Basis For Evaluation

    Distributional Problems

    Aggregation of Flows of Costs and Benefits Through Time

    Some Illustrations of Cost Benefit Analysis

    Other Types of Single-Criteria Analysis

    Multi-Criteria Analysis

    Some Conclusions

    Literature Chapter 5

    Chapter 6. General-Equilibrium Assessment Models


    Basic Features of Input-Output Models

    The Input-Output Approach

    Flow Matrices

    The Direct Requirements Matrix

    The Total Requirements Matrix

    Factor Incomes


    Price Equations

    Horizontal Coefficients

    Dynamic Models

    Linear Programming Models

    Optimization Problems

    Simple Example

    The General Programming Problem


    Integer Programming

    Nonlinear Programming

    References Chapter 6

    Chapter 7. Materials Balance and the Prediction of Residuals Flow


    Materials Balance Models

    The Ayres-Kneese Model

    Victor's Model

    Operational Models of Materials Flows

    Empirical Models

    Environmental Inputs

    Residual Discharges, Direct Coefficients

    Cumulated Coefficients

    Environmental Damage and Materials Flows

    Diffusion Models

    Appendix 7A. Residuals by Source and Type

    Appendix 7B. Input-Output Forecasts of Pollution Levels

    Appendix 7C. Indirect Pollution Effects: A Comparison of Three Air Pollution Studies

    References Chapter 7

    Chapter 8. Input-Output Modeling of Pollution Abatement Policies


    Structural Abatement

    Technical Abatement

    The Direct Financial Expenditure Approach

    Input Substitution

    The Dummy Industry Approach

    Other Methods of Technical Abatement

    Effects of Pollution Abatement on International Trade

    Empirical Results

    Costs of Pollution Abatement

    Price Effects

    Output and Employment Effects

    Appendix 8A. Structural Abatement: A Dutch Case Study

    References Chapter 8

    Chapter 9. Mathematical Programming Models of Air Pollution Control


    Control of a Single Pollutant

    Technical Abatement Models

    Structural Abatement Models

    Combination of Structural and Technical Abatement

    General Remarks

    Appendix 9A. Air-Pollution Abatement Technologies: Characteristics and Cost-effectiveness

    References Chapter 9

    Chapter 10. Modeling the Interaction of Economic and Ecological Systems


    Characteristics of Natural Ecosystems

    Food Chains


    Biogeochemical Cycles

    Ecological Succession

    Ecological Impacts of Economic Activity

    Economic-Ecologic Models

    Objectives of Economic-Ecologic Modeling

    Daly's Model

    Isard's Model

    Energy Flow Matrices

    Further Input-Output Ecological Models

    Constraints on Ecosystem Performance

    A Synthesis Economic-Ecologic Model

    Final Reflections Oo10

    Chapter 11. Instruments of Environmental Policy


    Taxing Pollution

    Other Economic Instruments

    Pollution Rights



    Direct Regulations

    Economic Side-Effects of Environmental Policy

    Simultaneous Application Measures

    References Chapter 11

Product details

  • No. of pages: 246
  • Language: English
  • Copyright: © Elsevier 1978
  • Published: January 1, 1978
  • Imprint: Elsevier
  • eBook ISBN: 9781483257044

About the Authors

D. E. James

H.M.A. Jansen

J.B. Opschoor

About the Editor

R.J. Wakeman

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