There are various ways of dealing with environmental problems, such as governmental regulation, private negotiation, and private law litigation. Among these, the role of government is very important in dealing with environmental problems. The governme...
There are various ways of dealing with environmental problems, such as governmental regulation, private negotiation, and private law litigation. Among these, the role of government is very important in dealing with environmental problems. The government use a wide variety of policy instruments to achieve its desired goal of environmental protection. These instruments can be characterized as command & control, economic, and suasive. Economic instruments are instruments that affect costs and benefits of alternation actions open to economic actors, with the effect of influencing behavior in a way that is favorable to the environment.
The purpose of this article is to try to analysis economic instrument as a law & economic approach. Law and Economics approach is very useful because of the complexity of the environmental problems, so inter-disciplinary studies are required to explain the essence of the problems and to suggest the proper solutions to the problems.
This article is to make the systematic analysis of the economic instruments and environmental policies.
Main subjects about economic instruments in korean environmental law, arisen from the viewpoint of law-and -economics approach, which consist of this article can be summarized as follows.
In chapter 2, considering to basic of environmental problems and econocmic instruments. First, reviewing to defition, basic principle, research fields and methods of law and economics, then considering a basic philosophy of law and economics, 'wealth maximaiztion', and research needs.
Then I am considering economic reasons of environmental problems, external effects and public goods, and proposing alternatives to internalize of external effects, and considering the final goal of environmental policies to achieve a optimal degree of environment. Market failure due to external costs and public goods is explained as the cause of environmental disruption and economic analysis are induced. Then reviewing to evaluation standards of environmental policies, justice and efficiency, and concrete standards of evaluation of economic instruments, environmental effectiveness, economic efficiency, equity, administrative costs, and acceptance.
In chapter 3, considering to general principles of economic instruments. So considering kinds of environmental policy, and definition of economic instruments, and appearance of economic instruments as a market failure and policy(government)failure, problems of command and control instrument.
Then I am considering kinds of economic instuments, charges, subsidy, deposit-rerurn system, tradeable permits, then based on the economic cause of environmental problems, the necessity of government intervention. And redefining the concepts of "justice"and "equity" which are used in various meanings, and then discuss efficiency, distrubutive justice, conservation of minimum quality of environmental and compensation as the goals of government intervention and needs of research, economic instruments as a law and economics in environmental law, and virtues and defects of economic instruments. Then I am considering choice of policy instruments as a side of an actual proof.
In chapter 4, I am analyzing to operation theory of economic instruments, and analyzing to economic instruments on korean environmental law with concret standards of evaluation of economic instruments, environmental effectiveness, economic efficiency, equity, administrative costs, and acceptance. Then I am considering side of optimal degree of environment, distributive justice criterion.
In chapter 5, I am considering to problems and improvements methods of economic instruments. I try to analyse the existing regulatory problems and to suggest the rugulatory reform: some fine-turnings and introduction of new systems, especially tradable permits and eco-tax.
Finally, I investigates the significance and limits of law-and-economics approach to environmental regulation, The I suggested enlarge to rate of charges and deposit very much, to solve the problems of economic instruments' operations.
Of the limits of this approach, one is what economic methods have in itself and other limits exist in connecting with various goals of environmental regulation. And socialists bring forward many problems against law-and-economic school from the viewpoint of the political ecocomy.