World Bank environmental economist Kirk Hamilton and his team in the bank’s environment department have found that most of humanity’s wealth isn’t made of physical stuff. It is intangible. Social institutions are most crucial.
First, the Coase theorem is not the magical panacea to pollution that many on the far right claim it is. Second, even if the theorem were valid, the preconditions required to make it work are so daunting that it can be applied only in an extremely limited