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Policy Research Report: Greening Industry: New Roles for Communities, Markets and Governments (1999)

Greening Industry PRR cover with purchase icon 125 pixels
Report also available
in ChineseSpanish,
and Vietnamese.
This policy research report shows how economic and regulatory policy reforms reduce industrial pollution in developing countries without threatening economic growth. Based on sound economic principles, a new model for pollution control  incorporates market-based incentives, a broad commitment to public environmental information, and targeted assistance to managers who are trying to improve environmental performance. The model stresses participatory regulation, with community representatives taking their place at the negotiating table along with government regulators and factory managers. Pollution control programs in Indonesia, Colombia, China, Brazil, Philippines, and Mexico are highlighted.


Greening Industry’s principal author is David Wheeler, Lead Economist for the Infrastructure/Environment Team of the World Bank's Development Research Group. The report summarizes six years of research and project work by a core team of economists, environmental engineers, and policy analysts, including:  Shakeb Afsah, Susmita Dasgupta, David Gray, Raymond Hartman, Hemamala Hettige, Mainul Huq, Benoit Laplante, Robert Lucas, Nlandu Mamingi, Muthukumara Mani, Paul Martin, Craig Meisner, Sheoli Pargal, David Shaman, Manjula Singh, Hua Wang, David Witzel and Ping Yun. The report was produced under the direction of Joseph Stiglitz, Lyn Squire, Paul Collier, and Zmarak Shalizi.


Press release (EnglishPortuguesFrancaisEspanolChinese)

Full text (EnglishSpanish)

Chapter 3 (Thai)

Background papers

Regulating Pollution in the Real World: Colombia's use of pollution charges for water pollution

Communities, Markets and Public Information: Indonesia and public information disclosure 

Knowledge, Poverty and Pollution: Environmental management systems for small and medium-size enterprises in Mexico

More Knowledge, Poverty and Pollution: Citizen complaints as environmental indicators: evidence from China 

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