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Environmental Tax Reform (ETR)A Policy for Green Growth$
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Paul Ekins and Stefan Speck

Print publication date: 2011

Print ISBN-13: 9780199584505

Published to Oxford Scholarship Online: May 2011

DOI: 10.1093/acprof:oso/9780199584505.001.0001

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ETR and the Environmental Industry

ETR and the Environmental Industry

Chapter:
(p.313) Chapter 12 ETR and the Environmental Industry
Source:
Environmental Tax Reform (ETR)
Author(s):

Martin Jänicke

Roland Zieschank

Publisher:
Oxford University Press
DOI:10.1093/acprof:oso/9780199584505.003.0012

In terms of functional analysis, the activity of environmental industries—especially regarding eco-efficient innovations—is a condition of sustainable growth. Fast-growing sectors also contribute directly to sustainable growth. Their rapid recent growth is underestimated due to statistical problems. The environmental industries are essentially policy-driven. By changing relative prices, ETR can direct innovation more towards the improvement of environmental performance, which will contribute to the growth and performance of environmental industries. The stimulation of innovation is one way that ETR can achieve its positive economic benefits. This chapter presents evidence about the evolution of environmental industries in Europe and their contribution to European economies. To assess the impact of environmental policy on economic success variables, four selected cases are presented: renewable energy, eco-construction, fuel-efficient diesel cars, and waste management/recycling.

Keywords:   environmental industries, sustainable growth, ETR (or eco-tax reform), environmental policy, eco-efficiency, innovation, Germany, Europe, functional analysis

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