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This book describes the state of the art when it comes to the use of economic instruments in policy making throughout the world. These new and innovative instruments, such as green taxes and tradeable permits, can cut the costs of environmental programs considerably and thereby increase the chances that the very necessary -- but also very expensive -- programs actually will be implemented. The book describes and discusses the successes and difficulties encountered in various countries both industrial, developing and transitional. It is intended to bridge the gap, not just between economic theory and environmental issues, but also the gap to practical policy making. With its special combination of environmental interest, economic knowhow and its wide geographical coverage, from the U.S. to China and from Tanzania to Uruguay or Estonia, it will be of interest to both students of economics, development issues and environmental science, as well as to researchers and policy makers in national and international bodies.