The role and application of economic instruments in reducing environmental pollution

With increasing energy consumption, greenhouse gas emissions from energy use have increased significantly in Iran and the world in recent years. Increasing global demand for energy from fossil fuels plays an important role in the upward trend in CO2 emissions. With the development of environmental problems caused by human activities, it has been determined that economic activities can not continue without regard to environmental constraints. For this reason, the use of market mechanisms and economic instruments, as well as laws and regulations for the rational use of natural resources, has become the focus of many governments in the world. According to previous studies, economic instruments provide the most effective solution for controlling and reducing greenhouse gas emissions, the two main forms of which include pollution taxes and exchangeable licenses. The research method used in this paper is more documentary-analytic, which according to the documents and regulations has tried to emphasize the necessity and role of economic instruments in reducing environmental pollution. In this research, the concepts and tools used to reduce environmental pollution have been discussed and the role of these economic tools in achieving sustainable development and their position in the country's planning system has been discussed.