Chapter 1 : Introduction to Environmental Economics

These flashcards cover fundamental concepts in environmental economics, focusing on the definitions, challenges, and implications of economic activities on the environment.

What is the main focus of Environmental Economics?

Environmental Economics focuses on how economic activities affect our natural environment and aims to help society reduce environmental degradation.

What are the two central concepts in Environmental Economics?

Efficiency and equity are the two central concepts in Environmental Economics.

What is efficiency in the context of Environmental Economics?

An outcome is economically efficient if all resources are put to their highest valued use or a desired outcome is reached using the fewest resources.

What does equity refer to in Environmental Economics?

Equity relates to how resources are divided among different people or groups.

What are externalities in environmental economics?

Externalities are costs or effects that are imposed on others without compensation, often resulting from economic activities.

What is the precautionary principle?

The precautionary principle suggests that society should weigh the trade-offs between the costs of switching to lower carbon energy sources and the future benefits of reduced global climate change.

What are the anthropogenic sources of greenhouse gas emissions?

Anthropogenic sources of greenhouse gas emissions include electricity generation, heat, transportation, and various industrial activities.

How does the concept of common property resources differ from private property?

Common property resources are shared among a group of people and can be open access, meaning they have no clear owner, whereas private property is owned by individuals who control its use.

What is a significant challenge in motivating people to change environmentally harmful behaviors?

Different moral values among individuals make it challenging to motivate behavior change based solely on morality.

What is the relationship between GHG levels and global warming?

As greenhouse gas levels increase, they trap heat in the earth's atmosphere, causing global warming.