Lectures 1+2 Flashcards
What is the first law of thermodynamics?
Waste is equal to resources used
What is assimilative capacity?
The ability of the environment to absorb waste without it having a harmful effect
When does environmental damage occur?
When waste is greater than assimilative capacity
Why can’t all waste be recycled?
Energy dissipates over time (2nd law of thermodynamics)
3 economic functions of the environment?
Supplier of resources
Assimilator of wastes
Source of utility
Define external costs?
Costs to society ignored by producers and not covered by prices
Define sustainable development?
Development that meets the needs of the present without compromising the ability of future generations to meet their own needs
What is intragenerational equity?
Equal use of resources in a generation
What is intergenerational equity?
Equal use of resources between different generations
How is intergenerational equity created?
By maintaining the capital stock (man made and natural)
Define weak sustainability?
Requires aggregate capital stock to be maintained over time (assumes natural and man made capital are substitutes)
Define strong sustainability?
Requires existing stock of natural capital to be maintained (doesn’t believe NK and MMK are subs)
Why does strong sustainability assume NK and MMK are not substitutes? (3)
Some natural capital is essential to human survival (eg. Carbon cycle, ozone layer)
Depletion of some natural capital is irreversible
Uncertainty on how some NK operates
