Environmental economics
Environmental economics is a domain of economics that looks at problems of the environment from an economical perspective.[1] Natural resources, such as clean water are limited, because of pollution. They are also seen as free public goods. This means that if there are no rules on how to use these goods, they will be used too much. There are externalities for using these goods, and there is the problem of free riders. In this perspective, the solution is to convert these resources into economic goods, which are integrated in the market. This will lessen the problem of free-riding, and give incentives to use these goods sparingly. An example for this is a tax which is tied to pollution. Proper legislation and observation of property right on how to regulate the use of these public goods is also another important factor in ensuring that market inefficiencies don't result.
Environmental Economics Media
- Growth, Development and Environmental Economics in Asia (17241141112).jpg
Growth, Development and Environmental Economics in Asia discussion at Chatham House, London
- Pollution de l'air.jpg
Air pollution is an example of market failure, as the factory is imposing a negative external cost on the community.
- Nitrogen Cycle.jpg
Nitrogen Cycle
- Water cycle.png
Water cycle
- Carbon cycle-cute diagram.svg
This carbon cycle diagram shows the storage and annual exchange of carbon between the atmosphere, hydrosphere and geosphere in gigatons - or billions of tons - of Carbon (GtC). Burning fossil fuels by people adds about
- Oxygen Cycle.jpg
Oxygen cycle
Related pages
References
- ↑ Geoffrey Heal (December 2016). Endangered Economies; How the Neglect of Nature Threatens Our Prosperity. Columbia University Press. ISBN 9780231543286. Retrieved 23 February 2017.
