In the traditional economic model, externalities and
ecosystem services are not factored into the equation.
Sustainability Implicitly Includes Economy
Natural Capital: natural resources and ecosystem services.
Without natural capital there is no life and therefore no economic activity.
Examples of Natural Capital:
- Water and Nutrient Cycling
- Atmospheric and Ecological Stability
- Pollination and Biodiversity
- Topsoil and Biological Productivity, Assimilation
- Detoxification of Society’s Wastes.
In a paradigm where environment and economy are seen as interrelated parts of a greater ECOSYSTEM
products in the market will attain a more realistic value
Regions that protect their environments retain and increase their true wealth through quality of life, and their virtual wealth through maintenance of resources.
Traditional economic models ignore the environment.
Environmental economists accept that human economies exist within,
and depend on, the environment.
Unsustainable economies have high population growth and inefficient resource use
Call to reform the current system and modify neoclassical economics to increase efficiency
Economic and Ecological Lesson
S-curve = homeostasis or “continuation” replaces “growth” in the equation
-Growth of a society has conventionally been seen as the common indicator of success of a society
-Until the population’s growth depreciates the carrying capacity of the supporting environment
-Unlimited societal growth and consumption will not carry the people through the industrial era into the technological era without accommodating for system inputs and exports (resources and waste)
The economy can be driven by maintaining and improving existing infrastructure
Exporting efficient and useful technologies to developing countries
Studies show that beyond a certain line of wealth acquisition, money doesn’t = joy
Quality of life will continue to rise, along with technology
Reducing consumption and waste saves money.