ECON 309: The economics of a sustainable society

1. What is the contemporary meaning of wealth?

2. What is the meaning of wealth in a more sustainable society?

3. Can we define wealth in a way that is broadly consistent with the first two questions?

4. What needs to be sustained in a sustainable society?

5. What is the proper way of accounting for the well-being of future generations in the way we make decisions today?

6. How do we measure economic success in a sustainable society?

A proper way to account for the well being of future generations is to share what we have now with them. Currently we are using most of the Earth's resources as if they were going to magically reappear for our future families. We should embrace the idea that no family exists solely in the present. We also need to engender an acceptance to risk abatement. Contemporary society in many instances does not to want to account for certain kinds of environmental degradation, the effects of which are not utterly apparent. However most of this unwillingness to take economic "risks" to stop, for example global warming, are perpetuated and created by the industries whose short-term (quarterly) profit maximum stands to suffer from the implementation of sustainable practices. We must develop a system such that competition between companies is not so intense that they feel they need to maximize profit in such a way at the expense of their communities, global or local, human or not.

  • Replace GDP and GNP of ISEW(index of sustainable economic welfare)
  • Major externalities must be internalized into price of all goods and services.
  • Zero discount rate
  • Limit size of economy to well below capacity of natural sources and sinks
  • Minimize depletion of non-renewable natural resources
  • Auction rights to extraction, depletion, waste and hazard generation within limits specified
  • Ban technologies whose worst-case cost exceeds specified limits(i.e. nuclear waste, genetically-engineered crops)
  • Require offset for all depletion of non-renewable energy resources by development of equivalent renewable energy sources
  • Restore, rather than deplete, potentially renewable resources
  • Stabilize, then gradually reduce human population to well below current size

We should put as much effort into planning and developing our communities as NASA puts into a shuttle launch. A more detailed approach takes longer-term goals into account, instead of quick fix strategies, and puts a fairer share of the cost onto present generation's shoulders. The convenient quick-fix solutions that put a greater financial burden on future generations is a mentality that needs to be phased out. This has to be practiced with all forms of capital.

Proper decision making: If negative ramifications are to impact future generations, the decision is bad. If benefits are foreseen without negative impact, the decision is good.

We need to question ourselves and our motivations: Are we removing resources faster than they can be replaced? Are we creating waste faster than it can be assimilated? The net result should be sum zero.

The proper way of accounting for the well being of future generations is to asses the possible implications of our actions on the seventh generation. That is, think about what our actions will do to humans seven generations in the future.

We know more today then we ever used to, and because of this fact, pollution has been lessened. Degradation of an ecosystem environment is scrutinized before that environment is touched. Species are becoming protected and children are taught to respect the environment. It is through education we have made these changes and it will be through education that will allow future generations to be healthy, wise, and assure their well-being.

In order to account for the well being of future generations, we should not make decisions based on money and greed. Consequences of our decisions should be weighed carefully. We do not have the right to plunder the earth.

In regards to future generations we must take into account things such as: the environment, technology, education, and the community. When making political, economical, and social decisions we must keep these factors in the forefront of our thoughts and actions. However, we must also remember that we have and will again make mistakes along the way that will affect future generations in negative ways.

Considering the future effects of present actions.

The proper way of accounting for the well-being of the future is to change societies conception of wealth, and what is necessary for survival, as well as changing our thinking about the treatment of our resources. If we reshape our thinking then we will preserve our resources and be able to maintain communities with discrete consumption patterns.

In order for our current decisions to be ethical, they must take into account the well-being of future generations; however, the well-being of future generations is less significant than the well-being of the current generation. In addition, the farther we project into the future, the more risk there is of inaccurate estimates of the impact of today's decisions.

In regards to answering this question, one must never forget to include all life in context of formulating any kind of equation. This seems to be one of humans inherent flaws in that we usually only tend to include future generations of humans, not thinking about future generations of other forms of life. One must take into account the value of currency in terms of its relation to the natural resources that are being used, and to the level of remaining supply of those resources. Will there be enough, if resources are going to be used up at the same quantity as today? Will all forms of life be able to benefit form the practices and tasks that we carry out today? Questions like these may be able to aid in accounting for future generations of life.

It seems that an understanding of what we are consuming, and at what rate we are consuming these resources is very important if we want to take into account the well being of future generations. This is especially important when discussing pollution that we create. Carbon dioxide is a prime example of this. For instance, during the combustion of fossil fuels Carbon dioxide is produced as a waste product. We may not think that this effects us in any substantial way, but the effects of producing large amounts of this matter have a serious long term effect that could seriously alter the quality of life for future generations. Do you think that the people who ran the Carbon dioxide spewing coal fired steel smelters in Pittsburg around the turn of the century paid any mind to the effects that this may have on us? They did not and look at our climatic problems due to this excess pollution. We must think about the effects of our actions if we want future generations to enjoy the quality of life that we have today.

Every decision we make today will affect future generations and thus this fact must be taken into consideration when any decision is made. The question may then arise, "How much do we use now and how much do we save for those who will follow?" One extreme might be to use all one's resources at once saving nothing for the future, the other might be to use as little as possible now saving the most one can for the use of future generations. In order for a decision with any merit to be made, these questions must first be asked.

Who can predict what the "proper way" to account for the well being of the future is? We can't even agree on how to do it today. I believe that first we need to truly and consistently start thinking how decisions we make today will affect the future. This is done in some disciplines but not those that make some of the biggest decisions. Perhaps we need to start with ourselves and honestly look at what we preach but how we walk. I have a three-month-old daughter, and of course I want her to grow-up and live in a healthy, productive, and mindful world, yet even I don't always support the best alternatives to achieve this goal. It's a difficult issue involving morals and values, making it near impossible to achieve consensus on.

To minimize pollutants and waste.

We need to invest more money in scientific research pertaining to sustainable technologies that meet out needs. We need to constantly be creating more sufficient social reforms and human rights protections. We need to create and maintain a stable economy.