Letting Environmentalists' Preferences Count

Abstract

Environmental policy questions often result in dueling scientific studies. Typically, articles are published in scientific or medical journals that claim exposure to pollution results in increased morbidity or mortality. Critics then respond in scientific or policy journals with claims that the original scientific articles were flawed and do not reflect sound science. But why should those who prefer a cleaner environment have to justify their preferences with scientific evidence? Markets are neutral with respect to preferences. The function of markets is to allow people to pursue their preferences subject to a budget constraint.

Keywords: Environmental policy, pollution, market solutions, consumer preferences, public goods, policy disputes, environmental regulation, regulation, choice

JEL Classification: H10, Q38, Q30