Includes bibliographical references and index.

pt. 1. Static efficiency. Cost-benefit analysis and allocative efficiency ; Free trade and environmental protections ; Cost effectiveness and instrument choice -- pt. 2. The economic dynamics of innovation. Innovation's value ; Economic incentives for innovation ; Decision-making structures ; The shape of environmental problems: growth, decentralization, and change over time -- pt. 3. Toward economic dynamic reform. Privatizing environmental law ; Making public environmental decisions more fair and effective ; Improving regulatory design to stimulate change -- pt. 4. Toward economic dynamic legal theory. Static efficiency reconsidered. This text shows in detail how the concept of economic dynamics can reshape thinking about environmental law and policy. It argues that environmental policymaking in the US has been poorly served by the view of the relationship between environmental regulation and economy, technology and business.