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Abstract

An empirical analysis reveals that US states with a more highly educated population have better environmental conditions, after controlling for income and industrial composition. The strategy of raising human capital stocks to maintain or improve environmental quality is proposed as a complement, if not an alternative, to direct government intervention which consists of command and control, market incentives and moral suasion. Under this approach, general education becomes the control variable which guides economic behaviour in a manner consistent with long-term environmental sustainability.

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