Issues in Environment Policy
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چکیده
58. Sustainable development goes beyond a static framework of correcting environmental externalities , deficient markets and inadequate property rights. It is very much concerned with the availability of environmental and natural resources in the future. The problem may be particularly acute in developing countries that have high discount rates due to the scarcity of capital and prevalence of poverty ( which indicates a strong preference for present over future consumption ). Therefore, use of an appropriate discount rate/shadow prices is central to maintaining an optimal balance between consumption and preservation of natural resources.
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