Chapter 23: Ecological Economics
23.1 Economic Worldviews Can development be sustainable? Our definitions of resources shape how we use them Classical economics examines supply and demand Neoclassical economics emphasizes growth Ecological economics incorporates principles of ecology Communal property resources are a classic problem in ecological economics
Freedom and Growth Growth in European internal markets Territorial Expansion Scientific and Technological Expansion Everyone gets a Bigger Slice Can Freedom Exist in a Zero-Sum World?
The Laffer Curve
23.2 Population, Technology, And Scarcity Scarcity can lead to innovation Carrying capacity is not necessarily fixed Economic models compare growth scenarios Why not conserve resources?
23.3 Natural Resource Accounting Gross National (Domestic) product is our dominant growth measure Alternate measures account for well-being New approaches incorporate nonmarket values – Nonmarket values can’t be spent in the marketplace Cost-benefit analysis aims to optimize resource use
23.4 Market Mechanisms Can Reduce Pollution Using market forces Is emissions trading the answer? Sulfur trading offers a good model Carbon trading is already at work
23.5 Trade, Development, and Jobs International trade brings benefits but also intensifies inequities – NAFTA Aid often doesn’t help the people who need it – Theft, Misappropriation – Inefficiency and Bureaucracy – Ethnic, Religious and Class Rivalry Microlending helps the poorest of the poor
23.6 Green Business New business models follow concepts of ecology Efficiency starts with design of products and processes Green consumerism gives the public a voice Environmental protection creates jobs Personally Responsible Consumerism