ABSTRACT
This chapter reviews the scope of environmental economics and market measures, and how they might apply at the city-region level. It explores the general prospects for market transformation, to achieve social and environmental goals. As many environmental problems seem to be a result of market failure, their solutions might also lie in market adjustment. Eco-taxation package for all environmental consumption, with revenues re-invested. In an urban fringe of marginal agriculture, urban infrastructure, leisure uses and protected habitats, there are few clear patterns on which to base external costs or investment returns. Expenditure & social / environmental costs of 25 year programme for energy efficiency in buildings in GM, with assumptions and uncertainties as sources. For pollution in general, the typical polluter pays' and precautionary principles are not enough when jobs or lifestyle changes are at stake. The economics of the water industry highlight the relationship between costs and benefits, both in quantity, quality and effects on freshwaters and coastal areas.
