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Sustainable Management Metropolia, Business Ethics IP week. 2 State of the Earth
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5 global stress factors n Energy stress (oil scarcity) n Economic stress (income inequity) n Population stress (growth rate) n Ecological stress (damage to land, water, etc) n Climate stress (changes earth atmosphere) n Can society collapse? (like in the past)
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Oil price development n Brent Oil price development 2003-2013 Agricultural Raw Materials Index 2003-2013
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Oil price influences other prices n Brent Oil price development 2003-2013 Wheat Monthly Price 2003-2013
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Oil n Peak oil? n the point in time when the maximum rate of global petroleum extraction is reached, after which the rate of production enters terminal decline. n Time of cheap oil is over. The EROI (Energy Return on (Energy) Investment) goes down
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Economic Stress n Inequity in states; Gini Coefficient
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Income inequity n ‘the rich are getting richer, the poor are getting poorer’ n Between 1990 and 2005, approximately two thirds of the countries experienced an increase in income inequality. The incomes of richer households have increased relative to those of the middle class and poorer households. (International Labor Organization: World of Work Report 2008: Income inequalities in the age of financial globalization) n Gapminder of Hans Rosling Gapminder
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Population Stress
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Population Pyramid
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Year of Peak Fish Harvest Harvest peak Pre-peak Post-peak Source: Millennium Ecosystem Assessment and Sea Around Us project Overfishing
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Year of Peak Fish Harvest Harvest peak Pre-peak Post-peak Source: Millennium Ecosystem Assessment and Sea Around Us project
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Overexploitation; Overfishing n the disappearance of species due to overfishing, pollution, habitat loss, and climate change. n Now: 29% of edible fish and seafood species have declined by 90% n In 2048 oceans empty of fish
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Plastic Soup? Captain Charles Moore Ted Talk
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Artic Ice Shrinking 1979-2003
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Tipping Point n Ocean Acidification n Increased absorption of CO 2 in Ocean leads to change in acidity of water n Now pH 8.2 n In 2100 pH could fall with 0.5 (0.1 unit change is 30% difference)
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Tipping Point n Ocean Acidification n Causing death of marine life, like Coral Reefs, coccolithophore, etc. n Stopping of Sink function of CO 2 of ocean
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Assignment 2 n Calculate your ecological footprint: www.myfootprint.org www.myfootprint.org n Bring tomorrow your footprint in planets and hectares. Which factors are being measured? n What is the country average for Finland, compare it with other countries: n The Netherlands n USA n China n Kenya
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Assignment 3 n Bring two newspaper/magazine articles to class: n one about a company being involved in a people, planet, profit issue in a positive way (best practice). How does this company align PPP? n One about a company involved in an issue in a negative way. How did this company respond to the issue?
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