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ENVIRONMENTAL ECONOMICS FOR NON-ECONOMISTS

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Topic: Environmental Economics

Sort Desciption: discipline of environmental economics has been growing and now encompasses a ... Environmental economics provides the theory and logic behind ...

Content Inside: Asia-Pacific Development Journal Vol. 7 No. 2 December 2000 121 ENVIRONMENTAL ECONOMICS FOR NON-ECONOMISTS By John Asafu-Adjaye The University of Queensland World Scientific Singapore 2000 ISBN 981-02-4013-9 pp. xiii + 321 Over the last decade or so the dialogue between environmentalists and economists has been both tenuous and difficult with the two groups taking rather extreme positions and behaving like trains that pass in the night. However the discipline of environmental economics has been growing and now encompasses a number of concepts familiar to economists but often seen as incomprehensible to environmentalists. Nevertheless as most of the world marches to the beat of the profit motive there is an urgent need to help those who wish to protect the environment and manage our natural resources to be able to present their case to economic and political planners and to devise policy options seen as feasible and sellable. To date in many economies of the world there have been efforts to legislate solutions to environmental problems. These have inevitably run into problems of enforcement and interpretation and have not been very effective in achieving the stated goals. More recently and particularly in more developed countries there have been efforts to design and implement market-based solutions which rely on the use of traditional economic concepts. Market-based instruments in the area of environmental management have been sold as providing less costly policy options and as easier to implement devices requiring less policing. Environmental economics provides the theory and logic behind arguments on the use of economic incentives and disincentives in environment and natural resource management. Discrepancies between theory and practice so often the case with traditional economics are largely due to the existence of uncertainty as well as the relative political attractiveness of certain economic tools. Moreover uncertainties in the world of environme ...

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