Instrument Mixes for Environmental Policy

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What are the impacts on environmental effectiveness and economic efficiency of using an “instrument mix”, rather than a single instrument, to address a given environmental problem? What are the main arguments for using such instrument mixes, and are the instrument mixes currently in use actually well designed in response to these arguments? These are the main questions addressed in this report, which is based on a series of in-depth case studies. The case studies analyse instrument mixes applied in OECD countries to address household waste, non-point sources of water pollution in agriculture, residential energy efficiency, regional air pollution and emissions to air of mercury.

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Instrument Mixes Addressing Non-point Sources of Water Pollution

This chapter describes instrument mixes dealing with non-point sources of water pollution in agriculture in four countries: Denmark, the Netherlands, the United Kingdom and the Chesapeake Bay area in the United States. For Denmark, separate studies are made on instrument mixes addressing nitrogen run-off, phosphorous run-off and pesticides use. Mixes addressing both pesticide use and nutrient run-off are also described regarding the United Kingdom, while the case studies of the Netherlands and the Chesapeake Bay area only focus on nutrients run-off. In the latter case, both Federal measures and State-level measures in Virginia and Maryland are analysed.

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