BESC 201 9 25 2013 Lecture 11 Outline of Last Lecture I Economics Approaches and Environmental Implications Outline of Current Lecture II Environmental Policy An Overview III U S Environmental Law and Policy Current Lecture 9 25 2013 How sustainable is economic growth Economic growth stems from two sources 1 Increase in inputs in economy labor and natural resources 2 Improvements in the efficiency of production due to better technology Economic Development producing more with less Can t use first approach forever as population and consumption rise The second approach has pushed back limits on growth Ecological Economists argue that civilizations don t ultimately overcome their environmental limitations Apply principles of ecology and systems science to analysis of economic systems Steady State Economies intended to mirror natural systems that don t grow and shrink Environmental Economists argue that there can be changes to sustainability within current economic systems by modifying the principles of neoclassical economies to address environmental challenges Ecological economists call for a revolution environmental economists call for reform We can assign monetary value to ecosystem goods and services Nonmarket Values values not usually included in the market place of a good or service Environmental and ecological economists have looked for ways to assign values to ecosystem services Businesses are responding to sustainability concerns Corporate sustainability has gone mainstream Businesses often find they reduce costs and increase profit Greenwashing misleading consumers into thinking a company is acting more sustainably than it is Markets can fail These notes represent a detailed interpretation of the professor s lecture GradeBuddy is best used as a supplement to your own notes not as a substitute Market Failure occurs when markets do not take into account that environments positive contributions to economies or do not reflect the negative impacts of economic activity on the environment or people Market failure is countered by government intervention Environmental Policy An Overview Policy consists of a formal set of general plans and principles intended to address problems and guide decision making Public Policy policy made by governments consisting of laws intended to advance societal well being Environmental Policy pertains to human interactions with environment aims to regulate resource use or reduce pollution in order to promote human welfare and protect natural systems Environmental policy addresses issues of fairness and resource use The Tragedy of the Commons Intended to safeguard them from depletion or degradation Two concepts restriction of use and active management central to environmental policy today Free Riders Free Riders a company not as involved in practicing sustainability as other competition on market Private voluntary efforts are generally less effective than efforts mandated by public policy to ensure all parties sacrifice evenly External Costs Eliminating external costs ensure that some parties don t use resources in ways that harm others U S Environmental Law and Policy Legislation statutory law passed y Congress and assigned to an administrative agency within the executive branch Regulations specific rules intended to help achieve the objectives of the more broadly written statutory law Early U S environmental policy promoted development Laws that comprise U S environmental policy were created in three periods First period accompanied westward expansion of nation and intended to promote settlement and use of natural resources The second wave of U S environmental policy encouraged conservation Laws of this period aimed to alleviate environmental impacts associated with westward expansion Acts enabled creation of a national park system national forest system and national wildlife refuge system that still stands as global models The third wave responded to pollution Americans found themselves better off economically but living with dirtier air water and more waste and toxic chemicals NEPA gives citizens input into policy decisions Two federal actions marked 1970 as dawn of modern ear of environmental policy National Environmental Policy Act NEPA created an agency called the Council on Environmental Quality and required an EIS be prepared for any major federal action that might significantly affect environmental quality Environmental Impact Statement EIS report of results from studies that asses the potential environmental impacts that would result from development projects funded by the federal government Creation of the EPA marked a shift in environmental policy Environmental Protection Agency EPA conduct and evaluate research monitor environmental quality set and enforce standards for pollution levels assist the states in meeting standards and goals and educate Other prominent laws followed Clean Water Act of 1977 Federal Water Pollution Control Acts of 1965 and 1972 The social context for policy evolves over time Major advances in environmental policy happened because 1 Evidence of environmental problems became widely and readily apparent 2 People could visualize policies to deal with the problems 3 Political climate was ripe Citizens and policy experts began to feel that the legislature and regulatory means used to achieve goals imposed economic burdens on businesses and individuals New international wave of environmental policy with aims to safeguard natural systems while raising living standards for the world s people