This work examines the facets of the connection between environmental quality and the economic behaviour of individuals and groups of people. End of chapter discussion questions help to reinforce the concepts learned in the chapter and help students apply those concepts.

Part 1 Introduction: what is environmental economics?; the economy and the environment. Part 2 Analytical tools: benefits and costs, supply and demand; economic efficiency and markets; the economics of environmental quality. Part 3 Environmental analysis: frameworks of analysis; benefit-cost analysis - benefits; benefit-cost analysis - costs. Part 4 Environmental policy analysis: critera for evaluating environmental policies; decentralized policies; command-and-control strategies - the case of standards; incentive-based strategies - emission charges and subsidies; incentive-based strategies - transferable discharge permits. Part 5 Environmental policy in the United States: federal water pollution-control policy; federal air pollution-control policy; federal policy on toxic and hazardous substances; state and local environmental issues. Part 6 International environmental issues: environmental issues in other industrialized countries; economic development and the environment; the global environment; international environmental agreements.