ABSTRACT
The adoption of free market principles has not been such a voluntary process in many Southern countries. The policies pursued to achieve these objectives are known as 'structural reforms'. The IMF was created at the end of the Second World War, and is controlled by the top ten OECD countries. Between 1970 and 1980, a vast amount of environmental legislation and environmental protection was established in the United States. The starting point for the free market approach to environmental protection is that private property is conducive to environmental preservation. Economic externalities are created where the activity of one person or entity affects the welfare of other persons or entities, and the costs of this interference are not reflected in the price of the good or process that creates this interference. The idea of emissions permits dates back to the early 1960s and the Canadian economist J H Dales.
