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Abstract
<jats:p>Environmental policies have evolved from narrow regulatory tools to key instruments of economic governance, affecting resource-dependent economies by influencing extractive sectors, revenue systems, and governance. This chapter introduces the Governance Ripple Framework, viewing environmental policies as institutional shocks that cause sequential fiscal, institutional, and equity effects. Using a qualitative–comparative approach, it analyzes Nigeria, Indonesia, and Chile, illustrating that governance capacity is essential for policy success and inclusive development, highlighting the responsibility of researchers and policymakers. The chapter integrates environmental policy, governance, and equity, emphasizing governance capacity as crucial to policy success and offering insights for designing sustainable, inclusive policies in resource-dependent economies.</jats:p>