Double edge sword
Debate of taxing certain use of resources
Historically, it has been observed emissions follow the ebb and flow of economic growth
Alters major geophysical conditions
This accelerates
Leads to less resources for:
Higher rates of production and consumption lead to
Defined as:
Leads to:
Economic development initially worsens:
Economic growth has redefined:
Economic growth has increased:
Economic growth has increased:

How global economic growth has impacted the environment

Loss of natural capital

Decrease in ecosystem services

The food we eat

The water we drink

Plant materials used for fuel

Th

Driving emission rates and in turn
driving climate change

Depletion of natural capital
and ecosystem services

Average surface temperature

precipitation patterns

Oxygen content

Temperature and acidity of water bodies

Environmental uncertainty

Loss of biodiversity

Humans have transformed the majority
of the Earth's ecosystems

Terrestrial, marine, and aquatic habitats

Natural forests declined by 6.5 million hectares per year from
2010 to 2015

mangroves declined by
20% from 1980 to 2005

wetlands declined by 35% between 1970 and 2015

This relates back to the discussion post from week 1, where we were asked to discuss what qualifies as a resource: anything a human can transform to fill a demand (this is the anthropocentric view)

Soil erosion

Increasing demand
for food

It is estimated that by 2050 agricultural production will have to rise by 70% to meet the needs of growing world population

Large scale
land degradation

Global warming and air pollution

2010: after the recession there was
once again an annual gain in gas
emissions due to the economy
rebounding

2018: once again an annual gain in
gas emissions to due aggregate economic growth driven by by a higher demand for energy, trucking and air travel, and industrial activity

Long-term toxins in the environment

Economic growth has led to the
increased consumption of plastic:
plastic is not degradable, this leads
to an ever-increasing stock of plastic
in the land and water

Society's ability to predict the negative impacts
on the environment is limited

The relationship between the environment and economic growth is not always linear

Improvements in income per capita
through economic growth can increase
environmental degradation through
greater resource use

Higher levels of development can
lead to the reduction of environmental
harm

Technological advancement

Improved government policies

Increased demand for environmental protection

Corporations taking a more sustainable approach to operations

Economic growth is a double edged sword: although
although it provides better standards of living in the
short term, it damages our environmental infrastructure
in the long term

A huge fraction of the global population still
do not have the resources to meet their most
basic needs

Tragedy of the commons

As economic growth has made natural resources
somewhat accessible to many: this has overall led
to the exploitation and depletion of resources

Carbon tax

Prepared food tax

Fast fashion

Corporations take advantage of
Perceived obsolesce and create
and sell products that they know
consumers will dispose of as soon
as the trend ends

Overproduction by fashion brands
leads to an unnecessary disposal of
resources

Burberry burnt $37.8 million worth of its 2018 season's leftovers to avoid offering a discount on unsold merchandise

Groundwater use in the US

Groundwater is a viable drinking source
for roughly half of the US's population, in
addition 50 billion gallons of groundwater
is used per day for agriculture

Due to this, groundwater is being depleted
faster than it can be replenished

Environmental externalities

Long term run: pollution and deforestation tend to
improve as the income of the population increases
due to economic growth

The more wealthier people become the more they demand and get improved environmental quality through regulation and market mechanisms that drive sustainable and less resource-intensive processes and technologies

As income increases driving economic growth forward
this also means there is an increase in consumption and
production, leading to more pollution