Many different instruments exist which can be used in environmental policy. No one instrument is superior to all others in all situations. The instrument used in a specific situation depends on the goals to be achieved and on the specific environmental problem (for example, the number of polluters, monitoring problems, etc.). To manage more effectively present environmental issues it may be necessary to combine the use of traditional economic instruments with new economic mechanisms. An example is shown how such a new economic mechanism, a combination of the "utilitarian desires" rule and a tax rule, could assist to locate a new waste disposal site.
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