Abstract
Nature is a stock that can renew itself within certain bounds. On the one hand, stock increases because of ecological processes, while on the other hand, it decreases because of the economic process. This decrease can be called damage. If increase equals decrease there is an ecological equilibrium.
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Computation of inverse matrices and multiplication of matrices has been done with the help of a spread sheet programme.
A necessary condition for the inversion of a matrix is that the number of columns equals the number of rows. This implies that the number of maximum pollution levels should equal the number of sectors, or, in other words: the number of political goals must equal the number of political instruments.
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Heijman, W.J.M. (1998). Macroeconomic Environmental Aspects. In: The Economic Metabolism. Springer, Dordrecht. https://doi.org/10.1007/978-94-011-5038-5_12
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DOI: https://doi.org/10.1007/978-94-011-5038-5_12
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