Framing Environmental Policy Instrument Choice

Abstract

"The student of environmental policy is exposed to a myriad of policy instruments the government can employ: emissions taxes, abatement subsidies, marketable allowances, regulation based on performance standards or technology, property rights, deposit-refund schemes, information programs, liability rules, and a number of related policy tools. When Congress crafts environmental legislation or administrative agencies promulgate rules to implement environmental policy goals, they must choose from among these policy tools. In an ideal world, they would employ those instruments that will allow the government to meet its goals at the lowest possible cost subject to external constraints."