A critical issue faced by policymakers across the world is how to distribute the costs and benefits ofpolicies designed to address environmental problems, whether dealing with automobile emissions, water pollution, toxic substances, solid waste or global climate change. Whereas fairness concerns are frequently discussed in many different public policy areas, they appear to occupy a particularly prominent place in environmental issues. In fact, environmental policies, such as green taxes, fuel economy standards and tradable emissions permits, differ dramatically in the distribution of their costs and benefits.