Catalog

	Table of Contents
p. 35 of 57 BACK | NEXT I. The Changing Environment II. Driving Forces of Change III. Options and Opportunities IV. Toward Policy Integration Mounting Pressure for Policy Responses Policy Integration Entry Points for Policy Integration Managing Economic Fundamentals Establishing a Regulatory Regime Resource Pricing Using Market-Based Instruments Removing Pricing Barriers to Technology Adoption Intrasectoral Policy Integration Intersectoral Policy Integration International Trade and Investment Governance A Framework for Policy Integration Toward an Action Agenda V. Call to Action

Asian Environment Outlook 2001 : IV. Toward Policy Integration

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Managing Economic Fundamentals

The first entry point for policy integration is influencing the basic economic decisions of firms, farms, factories, and households. The challenge is to ensure that decisions about investment, purchasing, technology choice, and strategy are co-optimized with regard to both environmental performance (in terms of energy, materials, resources, and pollution efficiency) and economic performance (in terms of cost efficiency, growth potential, and competitiveness).

The policy response to this challenge has two main parts. The first is ensuring that the drivers of environmental performance (such as regulations, resource prices, and public pressure) are efficient in the sense that they secure environmental benefits at the lowest economic and social cost. The second is to ensure that economic actors are in a position to respond positively to these drivers of environmental performance by, for example, having access to more environmentally efficient product and process technologies. As efforts are made to strengthen the drivers of environmental performance, it is critical that the policy responses address both of these concerns. provides clear performance expectations that are consistently enforced.

Establishing a Regulatory Regime

Resource Pricing

Using Market-Based Instruments

Removing Pricing Barriers to Technology Adoption

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