Abstract
In the 1960s the environmental problems caused by the strong economic growth of the post-war period and the explosive development of the chemical industry started to become evident. As a result, the governments of OECD countries, under pressure from public opinion, started to define regulations to limit environmental impacts. Faced with this situation, the traditional economy adopted the position of considering that such expenses were a restriction on growth and the creation of jobs, because it was said that they increased inflation, curbed innovation and were an obstacle for the development of trade. As the environmental problem worsened and reached planetary dimensions, the traditional economy was unable to keep maintaining the theory of incompatibility. The only way out left was to defend the compatibility between unlimited growth and free trade, on the one hand, and the protection of the environment, on the other. In order to deal with this task, it segregated a branch: Environmental Economics.
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Bermejo, R. (2014). Foundations and Instruments of Environmental Economics. In: Handbook for a Sustainable Economy. Springer, Dordrecht. https://doi.org/10.1007/978-94-017-8981-3_3
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