This book clarifies the following mechanism of sustainable development. In Chaps. 4 and 5 , environmental and financial policies bring about sustainable development via innovation. This effect is the distribution effect. However, this effect is greatly influenced by the degree of elasticity of substitution in Chap. 8 . In Chaps. 6 and 7 , households’ preferences for leisure and social status influence the growth effect by the marginal rate of substitution between them and consumption. In Chaps. 10 and 11 , the emission allowance rent affects the firms’ location, leading to the pollution haven hypothesis, tourism-led growth hypothesis, and sustainable tourism. In Chap. 12 , environmental tax evasion with corruption under overlapped regulation promotes economic growth. In Chap. 13 , the pollution haven hypothesis through tax evasionTax evasion is presented. In Chap. 15 , environmental policy brings about the Porter hypothesisPorter hypothesis through industrial structure. In Chap. 16 , the impact of tax evasionTax evasion on the Porter hypothesisPorter hypothesis is discussed. The results of this book are all dependent on scale effectScale effect, but robustness is confirmed for some of the results. The significance of this book for numerical analysis and empirical analysis is then discussed, and the construction of a theory of sustainable economic growth is left as a further issue.