Transcript Bureaucracy

Environmental Policy
Population and The Environment
• A significant concern for policymakers is the rapidly
growing world population.
•
•
•
•
•
•
•
1830 population= 1 billion
1900 population= 1.6 billion
1950 population= 2.6 billion
1995 population= 5.7 billion
2000 population= 5.9 billion
2007 population= 6.6 billion
2015 population= 7.2 billion
• Many of the consequences of overpopulation
are deforestation, malnutrition and starvation
as well as a substantial increase in human
and industrial waste
• Where population is growing most rapidly,
we often find the poorest of people
• Population control policies can conflict with
political and religious attitudes and beliefs
• Economic development programs to
reduce poverty must take into account the
necessity of environmental protection; but
usually these goals are antithetical
• To reduce poverty, per capita income must
be raised, however there is no realistic
way poor countries can achieve economic
development unless their population
growth rates are significantly lowered
What is the answer?
• Sustainable development
• What is sustainable development?
• Sustainable development is a socioecological process characterized by the
fulfillment of human needs while
maintaining the quality of the natural
environment indefinitely
• Related to the economic/business concept
of sustainable growth: the idea that from
time to time, businesses may run into
trouble unless they control their growth.
• Growth can be orderly or it can be
unrestrained. Unrestrained growth can
lead to less than optimal performance or
even financial distress
Why is this important?
Short sighted, self-interested behavior can
have long term (and not so long term)
consequences.
Fore example: Water! "The Southern Nevada
water crisis could go critical during the next
few years, requiring extreme water use
restrictions and possibly building moratoria"
Environmental issues are related to economic
issues
"Creating places people want to be, not places
people want to flee." Chicago Alderman Mary Ann
Smith
Green Cities: Some cities are taking the lead:
Philadelphia, Seattle, Boston, San Diego – city
officials agree that green urban setting are a critical
draw in an era when highly educated, mobile
professional workers-the economic gold of the
times-gravitate to attractive, welcoming, and
healthy places.
• Air Quality: Seattle/King County initiatives
run all the way from partnering with General
Motors on development of the country’s first
and largest hybrid diesel bus fleet to increase
portions of biodiesel in vehicle fleets, from
the nation’s largest hydrogen fuel-cell
project.
• Smart Development: Moving away from
pods of development-residential, office, and
retail. Instead compact, mixed use, energyefficient development.
• Benefits? Tree-lined streets alone increase
property values some 15%
• Benefits? The idea is that with less auto
dependency and easier access to public
transportation and jobs, low-income families will
have to spend much less on transportation than
they now do (on average, 40 cents of every
dollar of income at the poverty line)
• Benefits?: Healthy Communities, Healthy People
• Benefits?: Less traffic, more time for work (or
leisure). Increasing productivity (or
consumption).
The Environment and Political
Economy
• How does this all relate to the political
economy approach?
• Kraft: “Politics is about the collective
choices we make as a society”
How political economists think:
– They think incentives matter
– They think about trade offs
– They think in the aggregate
– They believe non-decisions are
important
– They believe in the power of markets
– They believe that people are selfish and
that is not always bad
Incentives and Constraints
• What type of policies would influence the
incentives faced by consumers &
producers?
• What type of policies would influence the
constraints faced by consumers &
producers?
Example: Fuel Efficient Cars
• It will be the market that produces fuel
efficient cars, not the government
• But the market will not produce them
because it loves the environment
• Producers will make them if there is a
profit for them
• Consumers will buy them if the cost is
competitive.
What type of policies?
• Incentives
– Gas taxes, taxes on cars
– Tax rebates
– Research grants
• Constraints
– Regulations
– Enforcement
– Product bans