Environmental
and Natural Resources Economics: Theory, Policy, and the Sustainable Society
3rd
Ed
Steven
C. Hackett
Table
of Contents
List
of Tables and Figures
Forward
Preface
1.
Introduction to Environmental and Natural Resources Economics
Introduction
Fundamental Concepts
Some Reasons for Optimism and
Some Reasons for Concern
Reasons for Optimism
Reasons for Concern
Overview
Summary
Review Questions and Problems
Internet Links
References and Further
2.
Value Systems and Economic Systems
Introduction
Fundamentals of Ethical Systems
Deontological Ethics
Teleological Ethics
A Closer Look at
Utilitarianism
Self-Interest, the Common Good,
and Social Order
Private Property
Locke and the Liberal Society
Rousseau and the Civil Society
On Positive and Normative
Economics
Economic Questions That All
Societies Must Answer
Summary
Review Questions and Problems
Internet Links
References and Further
3.
The Economics of Market Allocation
Introduction
Market Capitalism
Conditions Required for a
Well-Functioning Competitive Market
Market Demand and Supply
Market Demand
Market Supply
Market
Equilibrium and Efficiency
Market Equilibrium
Efficient Resource Allocation
Market Failure
Monopoly, Cartels, and Market Power
Externalities
Common-Pool Resources and Public
Goods: Collectively Produced and/or Consumed Goods
Imperfect Information
Fairness, Equity, and Distributive
Justice
Perspectives
on Market Failures and Government Intervention
Summary
Review Questions and Problems
Internet Links
References and Further
Appendix: A Calculus-based
Derivation of Supply Curves
4.
Externalities, Market Failures, and Policy Interventions
Introduction
Positive Externalities
Negative
Externalities
Property Rights and Negative Externalities
Social Cost as the Sum of Private and External Cost
Competitive Markets Are Inefficient When There Are
Negative Externalities
Pigouvian Taxes: The Theory of Policy Interventions for
Negative Externalities
Summary
Review Questions and Problems
Internet Links
References and Further
5.
The Economics of Natural Resource Systems Part I: Theory and Concepts
Introduction and Overview
Allocating Nonrenewable
Resources
The Industrial Organization of
Energy Delivery in the
The Theory of Dynamically Efficient
Nonrenewable Resource Pricing
Present Value Analysis
Dynamic Efficiency
Allocating Recyclable Resources
Allocating Renewable Resources
Allocating Common-Pool
Resources
Ecosystem Services and Natural
Capital
Resources for the Future:
Factors Affecting Future Resource Scarcity
Summary
Review Questions and Problems
Internet Links
References and Further
Appendix: The Prisoner’s
Dilemma and the Tragedy of the Commons
Part
II. Policy
6.
The Economics of Natural Resource Systems, Part II: Marine Capture Fisheries
Introduction
World Trends
Bioeconomic Model of a Fishery
Fishery Management
Individual Quotas
Aquaculture
Summary
Review Questions and Problems
Internet Links
References and Further
7.
Measurement and Analysis of Benefits and Costs
Introduction: Benefit/Cost
Analysis
Efficiency
Maximizing Net Present Discounted
Value (PV)
An Illustrative Example of
Benefit/Cost Analysis
The Coase Theorem
Operationalizing Benefit/Cost
Analysis in
Measuring Benefits
Overview
Measuring
the Health and Ecological Benefits of Regulation: Quantitative Risk Assessment
(QRA) and the Value of a Statistical Life
Categories of Nonmarketed
Environmental Benefits: Use and Nonuse Values
Use
Values
Nonuse Values
Measuring Nonmarketed Environmental
Benefits: The Contingent Valuation Method (CVM)
Examples of CVM Studies
The CVM Debate
Measuring Nonmarketed Environmental
Benefits: The Travel Cost Method (TCM)
Measuring Nonmarketed Environmental
Benefits: Hedonic Regression Method (HRM)
Other Valuation Approaches
Measuring Costs
Direct Costs
Indirect Costs
Summary
Review Questions and Problems
Internet Links
References and Further
8.
The Political Economy of Environmental Regulation and Resource Management
Introduction: What Is Political
Economy?
Economic Models of Political
Economy and the Regulatory Process
Introduction
The Political Market for Regulation
The Political Economy of Environmental
Regulation: A Selective Survey
The Political Economy of
Locally Self-Governed Common-Pool Resources
The Political Economy of
International Environmental Accords: The Case of the
Theoretical Foundation
Case Study: The International
Political Economy of CFC Control
Summary
Review Questions and Problems
Internet Links
References and Further
9.
Motivating Regulatory Compliance: Monitoring, Enforcement, and Sanctions
Introduction
The Economics of Crime
The Economics of Deterrence
Criminal Penalties and Incarceration
Versus Fines and Monetary Damages
Market-based Reputational
Enforcement and Voluntary Overcompliance
Private Auditing
Incentive Enforcement Systems
Selected Civil and Criminal
Case Summaries from the Department of Justice
Compliance
Citizen Suits
Summary
Review Questions and Problems
Internet Links
References and Further
10.
Creating Economic Incentives for Environmental Protection and Resource
Management
Introduction
Marketable Pollution Allowances
An Illustration of the
Cost-Savings Potential from Marketable Pollution Allowances
Case 1: Traditional Uniform
Performance Standard and No Marketable Allowances
Case 2: Cap and Trade
Case 3: Limited Allowance Trading
Advantages of Marketable Allowance
Systems
Disadvantages of Marketable
Allowance Systems
Marketable Pollution Allowances
and the Clean Air Act (CAA) Amendments of 1990: The Acid Rain Program
Renewable Portfolio Standard (RPS)
Emissions Trading
Other Experiments with
Marketable Allowances
Environmental Taxes
Environmental Taxes in the
Environmental Taxes Around the World
Summary
Review Questions and Problems
Internet Links
References and Further
11.
Global Climate Change: Science, Policy, and Economics
Introduction
Greenhouse Gas Emissions and
Global Climate Change
Modeling Carbon Dioxide Emissions
Trends in Greenhouse Gas Emissions
Global Climate Change Predictions
The Evidence Regarding Global
Climate Change
International Action on Global
Climate Change
The Earth
The
Policy Studies: The Economics
of Controlling Greenhouse Gas Emissions
Summary
Review Questions and Problems
Internet Links
References and Further
Part
III. Topics on the Economics of Sustainability
12.
Introduction to the Concept of Sustainability
Introduction
Sustainable Development
Conservation-based Development
A Working Definition of
Sustainability
Summary
Review Questions and Problems
Internet Links
References and Further
13.
Recognizing Interdependencies and Thinking Long Term
Introduction
Recognizing Interdependencies
The Industrial Revolution and the
Agrarian Transition
Income, Poverty, and Economic Growth
Education, Empowerment, and Justice
International Trade
The Argument for Free
International Trade
The Argument Against
Free International Trade
Population
The Demographic
Transition Model
Population Forecasts
Taxes and Incentives
Thinking Long Term: Discounting
and Policy Making
The
Effect of Discount Rates on Environmentally Friendly Investments and
Sustainability: An Illustrative Example
The
The
The Social Rate of Time
Preference
Are
the Discount Rates Associated with Competitive Financial Markets Consistent
with Those Required for Sustainability?
Summary
Review Questions and Problems
Internet Links
References and Further
14.
Sustainable Economic Development
Introduction
Conventional Economic
Development Strategies
Conventional Economic Development
Assistance Programs
Case Studies
Envisioning Sustainable
Development: The Brundtland Commission Report, the Earth
Theories of Sustainability
Weak Sustainability
Strong Sustainability
Practical Policy Implications
Sustainability Indicators
Indicators of Weak Sustainability
Indicators of Strong Sustainability
Case Studies in Measuring
Sustainable Economic Development
Sub-Saharan Africa, Latin America,
and the
Summary
Review Questions and Problems
Internet Links
References and Further
15.
Issues in Sustainable Production and Consumption
Introduction
More Sustainable Energy Resources,
Technologies, and Processes
Solar Energy
Industrial Ecology
Policies Promoting Sustainable
Production and Consumption
Extended Producer Responsibility
(EPR)
Ecolabels
Factors Relating to the
Success of Ecolabel Programs
Three Examples of Ecolabeled
Goods
Taxes, Subsidies, and Ecological Tax
Reform
Government Research and Development
Funding
International Environmental
Certification
Consumer Preferences and
Sustainable Consumption
Summary
Review Questions and Problems
Internet Links
References and Further
16.
Issues in the Economics of Sustainable Local Communities
Introduction
Sustainable Local
Self-Governance of CPR Systems
Examples of Sustainable Local
Communities and the Systems They Use for Governing CPRs
Japanese Village Commons
Spanish Irrigation Commons
Localized Self-Governance of
Fisheries
Fodder and Fuelwood Use in Panchayat
Community Forests
Ostrom’s
Design Principles Associated with Sustainable Local Self-Governance of
Common-Pool Resources
Retrospective on CPRs and Local
Self-Governance
Integrating Sustainability into
Local Economic Development
A Model of the Local Economy
Different Approaches to Economic
Development
Case Studies
Arcata
The
Sustainable
Local Economic Development in
Moving toward
Sustainable Urban Planning in
Summary
Review Questions and Problems
Internet Links
References and Further
Glossary
Index
About
the Author