The public demanded a cleaner environment

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1 The public demanded a cleaner environment and supported tougher environmental legisla6on Comprehensive Environmental Response, Compensation, and Liability Act Three factors allowed major advances in environmental policy in the 1960s and 1970s: 1. Wide evidence of environmental problems 2. People could visualize policies to deal with problems 3. Public support and leaders who were willing to act Star6ng in the 1980s, the poli6cal climate changed People felt burdened by environmental regula6ons Poli6cians tried to roll back or weaken environmental laws The U.S. retreated from its leadership role in environmental policy We need to stop labeling problems as environmental and show they are quality of life issues. - What kind of world do you want to live in? The 1992 Earth Summit in Rio de Janeiro, Brazil 179 na6ons Centered on the idea of sustainable development Fourth wave of environmental policy Late 20th century to present Focuses on sustainable development Finding ways to safeguard natural systems While raising living standards for the world s poorest people 1

2 Interna6onal law Vital to solving interna6onal problems Customary law Arises from prac6ces or customs held by most cultures Conven2onal law Arises from conven6ons or trea6es between na6ons San Diego/Tijuana international Montreal Protocol (1987) wastewater treatment plant 160 na6ons agreed to reduce ozone- deple6ng chemicals Interna6onal organiza6ons Influence the behavior of na6ons Provide funding, apply peer pressure, direct media azen6on United Na2ons Created in 1945 to maintain interna6onal peace and prosperity United Na2ons Environment Programme (UNEP) Helps na6ons understand and solve environmental problems The World Bank Established in 1944 one of the world s largest funding sources for economic development Dams, irriga6on, infrastructure Funds many unsustainable, environmentally damaging projects European Union Seeks to promote Europe s unity and economic and social progress One goal is promo6on of solu6ons to environmental problems Contained 27 member na6ons Can enact binding trea6es Its regula6ons have the same authority as na6onal laws Can also issue advisory direc6ves 2

3 WTO Established in 1995 Represents mul6na6onal corpora6ons to promote free trade Has authority to impose penal2es on na2ons that don t comply with its direc2ves! Interprets some environmental laws as unfair barriers to free trade Brazil and Venezuela filed a complaint against the U.S. s EPA regula6ons requiring cleaner- burning fuel WTO agreed with Brazil and Venezuela despite threats to human health Cri6cs charge the WTO aggravates environmental problems Interna6onal trea6es Allow industries and corpora6ons to weaken environmental protec6on laws seen as barriers to trade Under the North American Free Trade Agreement (NAFTA) An investor of one country can sue another country for hindering the investor s ability to make profits i.e., Canada s cazle industry demanded $300 million from U.S. taxpayers for banning Canadian beef afer mad cow disease was found in Canadian cazle billions of $ at stake - trea6es discourage na6ons from passing new environmental protec6on laws Non- governmental Organiza2ons (NGOs) En66es that influence interna6onal policy Some do not get poli6cally involved such as The Nature Conservancy Others try to shape policy through research, lobbying, or protest Greenpeace, Popula6on Connec6on Apply more funding, research, and exper6se toward solving environmental problems than many na6onal governments 3

4 Science provides informa6on to make bezer policy A na6on s strength depends on its commitment to science Policy based on pseudoscience is doomed to fail Some6mes policymakers distort science Manipula6ng data Censoring, suppressing, and edi6ng reports Placing unqualified people in powerful posi6ons Placing people with conflicts of interest in posi6ons Ignoring scien6fic advice Misleading the public Command- and- control approach Environmental policy sets legal limits and threatens punishment for violators Has resulted in successes: cleaner air and water Most current environmental laws Have resulted in safe, healthy, comfortable lives Top- down, some6mes heavy- handed Interest groups people seeking private gain unduly influence poli6cians Alterna6ve approaches involve using crea6ve economic incen6ves Tax breaks Government relieves the tax burden on a Subsidies business or individual to promote desirable industries or ac6vi6es Government giveaway of cash or resources to promote environmentally sustainable ac6vi6es Can be used to support unsustainable ac6vi6es i.e., subsidies for non- renewable fuels, roads in na6onal forests, mining on public lands The U.S. taxpayer pays $4,000/year in environmentally harmful subsidies and on increased prices through environmental degradation 4

5 Taxa6on can be used to discourage undesirable ac6vi6es Internalizes external costs Green taxes Taxes on environmentally harmful ac6vi6es and products Polluter pays principle Price of a good or service includes all costs, including environmental degrada6on Gives companies financial incen6ves to reduce pollu6on But, costs are passed on to consumers Markets in permits can save money and produce results Permit trading The government creates a market in permits for an environmentally harmful ac6vity Ie carbon trading Companies, u6li6es, and industries buy, sell, and trade rights to conduct the ac6vity Cap- and- trade system The government sets the amount of allowable pollu6on issues permits to polluters to emit a certain frac6on of that amount Polluters can exchange these permits Governments can reduce the amount of emissions Has been rife with fraud Eco- labeling Tells consumers which brands use sustainable processes A powerful incen6ve for businesses to switch to bezer processes Dolphin safe tuna Socially responsible inves6ng in sustainable companies 5

6 Many people take part in transac6ons involving financial incen6ves as policy tools Residents pay for waste disposal According to the amount of waste they produce Power companies may offer discounts to customers Who buy high- efficiency light bulbs and appliances In a capitalist market economy: a) People get their daily needs from nature b) The government determines what is produced c) People do not purchase or trade goods d) Buyers and sellers determine produc6on of goods e) People believe that making a profit is bad Which of the following is an ecosystem service? a) Water purifica6on in wetlands b) Climate regula6on in the atmosphere c) Nutrient cycling in ecosystems d) Waste treatment by bacteria e) All of the above are ecosystem services. 6

7 While valuable, neoclassical economics has led to environmental problems because: a) Resources are treated as unlimited b) Long- term effects are downplayed c) Costs and benefits are experienced by people other than just the buyer and seller d) All of the above assump6ons have resulted in environmental problems. Which of the following is NOT considered an economic externality? a) Human health b) Property damage c) Price a buyer pays for a product d) Aesthe6c damage e) All of the above are externali6es. Which of the following statements would be spoken by an ecological economist? a) The current economic system is working fine. b) The current economic system simply needs to be fine- tuned. c) The current economic system is broken and a new one needs to be developed. d) Economic systems never work. 7

8 occur(s) when the market does not reflect the nega6ve impact on the environment of a par6cular ac6vity. a) A subsidy b) Green taxes c) Market failure d) Equity is defined as policy made by the government that consists of laws and regula6ons. a) Tort law b) Public policy c) Market failure d) Tragedy of the commons Which of the following is a goal of environmental policy? a) Resource protec6on b) Elimina6on of free riders c) Addressing external costs d) Promo6ng equity e) All of these are goals of environmental policy. 8

9 Policy is formulated to prevent, which tempts people to cheat. a) Resource protec6on b) External costs c) The tragedy of the commons d) Free riders d) Overuse of a commonly held resource by the public What happened to the Cuyahoga River, which increased awareness of environmental problems? a) It smelled bad. b) People drowned in it. c) It was drained. d) It caught on fire. e) It was drained because of its high pollu6on levels. NEPA requires an Environmental Impact Statement when: a) An economically expensive project is proposed b) Any state ac6on may affect the environment c) Any federal ac6on may affect the environment d) Poli6cians decide one is needed e) The public demands one 9

10 The represent(s) multinational corporations to promote free trade and interpret(s) some environmental laws as unfair to trade. a) World Trade Organization b) The European Union c) United Nations Environment Programme d) Non-governmental Organizations e) All of these represent multinational corporations. Which statement is FALSE when formula6ng environmental policy? a) Iden6fica6on of the problem is the first step. b) Envisioning a solu6on to a problem involves both science and social ac6on. c) Individuals tend to be more effec6ve than organiza6ons. d) Lobbyists try to influence poli6cians. e) The final step of policy formula6on ends up with a proposed bill or draf law. Do you think economic growth can con6nue to expand as rapidly as it has in recent years? a) Absolutely. It has in the past and will con6nue to expand in the future. b) Mostly yes, with some rare excep6ons. c) Yes. Technology will come up with solu6ons to any problems. d) Absolutely not. Environmental degrada6on and limits will limit economic growth. e) I don t care. I ve got rich parents. 10

11 Think of an issue in your community that could pit environmentalists against economic development. What do you think should be a priority: environmental protec6on or economic development? a) Economic growth; we need the jobs b) Environmental protec6on; we need the environment c) Both; a compromise must be reached d) Whatever costs the taxpayers the least 11

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