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With a preface by Mr Y. Paleokrassas, European Commissioner for the Environment, this work indicates how environmental sustainability can be achieved in ways which support economic development and employment. It demonstrates the quantitative implications of policy choices and shows what mix of policies will be needed if employment prospects are to be increased while environmental assets are conserved. Among policy options examined are various fiscal measures including increases in energy taxes and higher charges for water: these and other major policy choices are analyzed in the light of their impact on economic and environmental models within the European Union to deduce what the economic/environmental future would be like if particular policy choices are pursued.