ekonomi lingkungan by nur aini
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EL - S1 IL - 2 - nur aini hidayati - 2011
ECONOMIC GROWTH, POPULATION GROWTH & THE ENVIRONMENT
EL - S1 IL - 2 - nur aini hidayati - 2011
Are there limits to growth?
• We tend to measure the expansion of the economy in terms of increase in its national output Gross National Product (GNP)
• GNP is a measure of the level of economic activity in the nation
• Increases in GNP are generally known as economic growth
• A somewhat more rigorous definition of economic growth is in terms of increases in per capita GNP, rather than GNP itself.
EL - S1 IL - 2 - nur aini hidayati - 2011
Are there limits to growth? Limits to economic growth
• The limited capacity of natural environments to receive the waste generated by economic systems
• The finite nature of exhautible resources
EL - S1 IL - 2 - nur aini hidayati - 2011
Limits to growth
• In terms of per capita GNP, we are unlikely to say that people are “better off” economically if the economy grows but the average level of income falls.
• Why? Rate of population growth• Population growth is also a source of pressure
on natural environments.
EL - S1 IL - 2 - nur aini hidayati - 2011
Problem of population growth
EL - S1 IL - 2 - nur aini hidayati - 2011
Limits to growth
• The Limits to Growth, a book by The Club of Rome, published in 1972 (Meadows, et al, 1972)
• The Malthusian analysis• The study examined the interaction of existing trends
in 3 main areas:1.Population & food supply2.Industrialitation & depletion of non renewable resources
3.Deterioration of the environment due to pollution & intensive agriculture
EL - S1 IL - 2 - nur aini hidayati - 2011
Critics of the limits to growth
• Changes in technology enable us to extract more and more economic activity from a given unit of natural resource more efficient
• We tend to discover more and more resources• We can control the amount of waste entering
the environment by recycling materials and taking waste gases out before they leave the economic system
EL - S1 IL - 2 - nur aini hidayati - 2011
So what?
• The limits to growth debate has a long history and it can never reach a firm coclusion.
• We choose to prevent it. It is generally within human capacity to decide what sort of environment we want. We then need to understand the ways in which individual decisions lead to environmental impacts and how collectively we can, often through the action of government, influence those incentives so as to produce the desired environmental outcome, because economics is concerned with these choices.