SOLUTIONS TO ENVIRONMENTAL PROBLEMS, IN THEORY AND PRACTICE, HAVE TRADITIONALLY BEEN DESIGNED UNIQUELY AND INDEPENDENTLY TO ADDRESS INDIVIDUAL ENVIRONMENTAL STRESSORS (E.G., NUTRIENT RUNOFF, GREENHOUSE GASES, AND HABITAT FRAGMENTATION). YET, ADVANCES IN ENVIRONMENTAL SCIENCE HAVE SHOWN MANY OF THESE PROBLEMS ARE LINKED, WITH HUMAN BEHAVIORS PLAYING A KEY ROLE. POLICY COORDINATION REPRESENTS A KEY CHALLENGE IN ADDRESSING LINKED ENVIRONMENTAL PROBLEMS. OUR PROPOSED ANALYSIS WILL FOCUS ON IMPROVING AGRI-ENVIRONMENTAL PROGRAM EFFICIENCY THROUGH THE DEVELOPMENT OF MARKETS THAT COORDINATE THE PROVISION OF LINKED SERVICES. SPECIFICALLY, WE WILL EXAMINE HOW A SINGLE, MULTI-SERVICE MARKET CAN EFFICIENTLY MANAGE A COLLECTION OF LINKED PROBLEMS, INCLUDING GREENHOUSE GAS EMISSIONS AND CARBON SEQUESTRATION, NUTRIENT WATER POLLUTION, AND A POLLUTION-IMPACTED FISHERY. THE RESULTING MARKET INTERACTIONS WILL ENCOURAGE INDIVIDUALS (FARMERS, FIRMS) TO UNDERTAKE ENVIRONMENTAL MANAGEMENT ACTIONS THAT ADDRESS MULTIPLE PROBLEMS IN A MORE COST-EFFECTIVE MANNER, IN CONTRAST TO DISTINCT MARKETS. WE WILL EXAMINE THE DEVELOPMENT OF SUCH MARKETS IN THEORY, NUMERICALLY USING SIMULATIONS OF AGRICULTURAL AND ECOSYSTEM INTERACTIONS IN THE CHESAPEAKE BAY WATERSHED, AND USING EXPERIMENTS TO EVALUATE THE ROLE OF MARKET MECHANISMS AND STRATEGIC EFFECTS IN THESE SETTINGS.