Putting economic incentives first: The O{sub 3}, PM, RH implementation FACA subcommittee`s analysis and recommendations pertaining to incentive-based control measures

Conference · Thu Dec 31 04:00:00 EST 1998

OSTI ID:361985

Morton, B J ^[1]

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1. EC/R Inc., Chapel Hill, NC (United States)

The US Environmental Protection Agency created the Federal Advisory Committee Act (FACA) Subcommittee for Ozone, Particulate Matter, and Regional Haze Implementation Programs to offer advice on multiple issues involved in implementing new, more stringent national standards for ozone and particulate matter, and a new regional haze rule. Economic incentives figured prominently in the Subcommittee`s attempt to think outside the box, i.e., to find better ways to achieve the national standards for the criteria pollutants. The Economics Advisory Group, formed by the Subcommittee, undertook an intensive study of economic incentives with the hope of encouraging air quality regulators to shift their thinking: to see economic incentives not as stepchild but as the favorite. What is likely to be the Economics Advisory Group`s legacy? The paper reviews their contributions to the policy dialogue in the United States on using economic incentives to achieve air quality objectives. The primary subject of the review is the philosophy that the Economics Advisory Group appears to express in its issue paper, Using Economic Incentives to Achieve Air Quality Objectives (December 10, 1997). It is worth emphasizing that the focus is on a philosophy of designing and choosing policy instruments--for which the Economics Advisory Group may not be the unique advocate. The theory of common-pool resource management and an appreciation of the multiple objectives that society has for environmental protection provide the perspective for this review. In addition, a generally favorable disposition toward the use of economic incentives in air quality management underlies the review. The review recommends certain additional considerations for investigations of the place of economic incentives in air quality management.

• OSTI ID: 361985
• Report Number(s): CONF-980632--
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
54 ENVIRONMENTAL SCIENCES
AIR POLLUTION
AIR POLLUTION ABATEMENT
ENVIRONMENTAL POLICY
FINANCIAL INCENTIVES
IMPLEMENTATION
OZONE
PARTICULATES
RECOMMENDATIONS
REGIONAL ANALYSIS