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This report has been prepared by the London Environmental Economics Centre (LEEC). LEEC is a joint venture, established in 1988, by the International Institute for Environment and Development (IIED) and the department of Economics of University College London (UCL).;Popularly known as "The Pearce Report", this books is a report prepared for the Department of the Environment. It demonstrates the ways in which elements in our environment at present under threat from many forms of pollution can be "costed".;It then shows ways in which governments are able, as a consequence of this analysis, to construct systems of taxation which would both reduce pollution by making it too costly and generate revenue of cleaning up much of the damage. The book ends with a series of skeleton programmes for progress. About the Author David W Pearce Professor of Economics at UCL and Director of LEEC. Dr. Anil Markandya, Seniro Lecturer in Economics at UCL and Associate Director of LEEC. Dr. Edward B Barbier, Associate Director of LEEC. Table of Contents   Part 1 Introduction: the idea of sustainable development Sustainable development as a bequest to the future Economy and environment Valuing the environment Anticipatory and reactive environmental policy The challenge of global pollution Summarising the sustainable development approach to environmental policy Growth "versus" the environment? Part 2 The meaning of sustainable development. Part 3 Valuing the environment. Part 4 Accounting for the environment. Part 5 project apprai Part 6 Discounting the future. Part 7 Prices and incentives for environmental improvement.