Reconciling Development and Environmental Goals

Measuring the Impact of Policies

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Policy coherence is increasingly in the interest of OECD countries and developing countries alike, given their growing economic, social and environmental interdependence. This report presents scenarios showing numerical results of changes to individual policies as well as policy packages implemented simultaneously by OECD and developing countries. The results can be used to anticipate the outcomes of decisions and implement the appropriate set of policies. The scenarios also show how policy combinations could substantially improve both economic and environmental outcomes together, confirming the need for policy coherence. 



Executive Summary

Policy coherence implies mutually reinforcing policy actions across government departments and agencies in one or several countries. Advocates of policy coherence stress the systematic promotion of opportunities to create synergies towards achieving particular objectives in different policy domains. For objectives concerning economic development and the environment, policy coherence would involve avoiding policies that serve to provide a short-term boost to growth, but at the cost of environmental damage that would be (predictably) regretted in the long term. In some cases, this environmental damage can lead to adverse effects on longer-term economic growth. At the OECD, two particular aspects of policy coherence for development have been emphasised: i) internal, i.e. within development co-operation; ii) intra-country, i.e. national aid and nonaid policy coherence. Much of the work reported below falls within these categories.


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