Economic instruments and induced innovation: The European policies on end-of-life vehicles (original) (raw)

Ecological Economics, 2006

Abstract

The paper addresses the mechanisms by which specific economic instruments based on the ‘producer responsibility principle’ (PRP) can influence innovation when environmental policy has impact on very complex industrial subsystems. We consider the EU policy on End-of-Life Vehicles (Directive 2000/53/EC on ELVs) as a representative case study of ‘multiple industry–PRP instrument’ dynamic efficiency problems. In order to achieve ambitious policy

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