Policy Directions Toward Sustainable Economies

Abstract

Physical growth of an economy is not sustainable, due to the limitation of renewable ecosystem services and exhaustive resources. Facing these limitations, a new type of economic development is needed, in which the stocks of manmade capital, human capital, natural capital and social capital are soundly maintained. To achieve such economic development, the author proposes four kinds of policies, including an extended producer responsibility policy, a renewable energy policy, a “local cap” policy and a compact city policy.