| Summary: | The paper deals with the problems of environmental economics and discusses the impact of economic development on the environment in the Republic of Karelia and its municipalities using the example of point-source pollutant emissions. The models are built, the calculations are carried out to explain the improvement of an ecological situation with a growth of economy. It is shown that environmental performance in the Republic of Karelia and its municipalities is continuously improving, although the level of pollution per unit of output in municipalities varies greatly. The factors that determine the dynamics of pollution almost coincide, but the extent of their influence is different. The study made it possible to explain the improvement of ecological indicators with economic growth, to identify the factors leading to the improvement of the environment. Structural changes of economic development are important for Petrozavodsk, and investments in environmental protection are important for industrial centres. The growth of investments in active modernization of economy was the most important for all municipalities.
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