Macroeconotnics and the Environtnent ©International Monetary Fund. Not for Redistribution This page intentionally left blank ©International Monetary Fund. Not for Redistribution Macroeconon1ics and the Environn1ent Proceedings of a Seminar May 1995 editor Ved P. Gandhi International Monetary Fund ©International Monetary Fund. Not for Redistribution © 1996 International Monetary Fund Design and production: IMF Graphics Section Library of Congress Cataloging-in Publication Data Macroeconomics and the enviroment I edited by Ved P. Gandhi p. em. Includes bibiographical references. ISBN 1-55775-536-1 I. Enviromental economics-Congresses. 2. Macroeconomics-Congresses. 3. Economic policy-Congresses. I. Gandhi, Ved P. (Ved Parkash) II. International Monetary Fund. HC79.E5M323 1996 333.7-dc20 96-8789 CIP Price: $22.50 Address orders to: External Relations Depm1ment, Publication Services International Monetary Fund, Washington D.C. 20431 Telephone: (202) 623-7430: Telefax: (202) 623-720 I Internet:
[email protected] ©International Monetary Fund. Not for Redistribution Contents Page Preface v 1. Macroeconomics and the Environment: Summary and Conclusions . 1 Ved P. Gandhi 2. Welcoming Remarks . 23 Margaret Kellj' Session 1. Analytics 3. How Macroeconomic Policies Affect the Environment: What Do We Know? . 29 Ved P. Gandhi and Ronald T. McMorran 4. Macroeconomic Policies and the Environment . 44 Stein Hansen Discussion Discussant's Comments . 65 A ndnrw Steer Other Discussion . 68 5. How the Environment Affects the Macroeconomy . 76 David Pearce and Kirh H arnilton Discussion Discussant's Comments ........ ................... 95 Kirit Parihh Other Discussion ................................ 100 Session 2. Integration of Economic and Environmental Accounts 6. Environmental Accounting: A Framework for Assessment and Policy Integration .... ..... .... ........... ... ..107 Peter Bartelmus I' ©International Monetary Fund.