Knowledge hub

Fiscal frameworks


Fiscal frameworks influence behaviour by means of government revenue and spending, and comprise both positive and negative price incentives. Examples for positive are tax exemptions, subsidies or credits that can stimulate circular goods and services[1]. Examples for negative price incentives are taxes, penalties or charges which impede and disincentivize an undesired, linear activity.

[1] WTO. 2006. World Trade Report 2006: Exploring the links between subsidies, trade, and the WTO'. World Trade Organization. Available online via

[2] EJOLT. 2012. Policy Instruments for Sustainability. Environmental Justice Organisations, Liability and Trade.  Available online via

Relevant case studies and articles