Many of the frontiers of environmental economics research are at the interface of large-scale and long-term environmental change with national and global economic systems. This is also where some of the most of challenging environmental policy issues occur. Volume 3 of the Handbook of Environmental Economics provides a synthesis of the latest theory on economywide and international environmental issues and a critical review of models for analyzing those issues. It begins with chapters on the fundamental relationships that connect environmental resources to economic growth and long-run social welfare. The following chapters consider how environmental policy differs in a general-equiIibrium setting from a partial-equilibrium setting and in a distorted economy from a perfect economy. The volume closes with chapters on environmental issues that cross or transcend national borders, such as trade and the environment, biodiversity conservation, acid rain, ozone depletion, and global climate...

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