Definitions Flashcards
Negative externality
Imposes external costs on society e.g. air pollution
Positive externality
Imposes external benefits on society e.g. immunisation
Global externalities
Affect everyone on earth e.g. climate change
Local externalities
Affect people more the closer they are to the activity
Public goods
Goods shared by all and owned by no one
Non rival
One agents consumption of a unit does r preclude or impinge on another agents consumption of the same unit
Non excludable
Once units are provided to one agent no other agent can be excluded from consuming those same units
Protocol
An agreement diplomatic negotiators formulate and sign as the basis for a final convention or treaty. The treaty itself may not be completed for many years
Treaty
An agreement where the parties to it negotiate to reach common ground and avoid further conflict or disagreement. Normally ratified by the lawmaking authority of the government whose representatives have signed it
Convention
Begins as an international meeting of representatives from many nations that results in general agreement about procedures or actions
Social Dilemma
Situation in which actions taken independently by individuals in pursuit of their own private objectives result in an outcome which is inferior to some other feasible outcome that could have occurred if people had acted together
Descriptive norms
People’s perceptions of how other people typically behave and act
Injunctive norms
People’s perceptions of what type of behaviour is considered right or wrong
Environmental goods
Inputs of which individuals prefer more to less
Environmental bads
Wastes that decrease utility as they increase
