summary of socialist article

summary of socialist article - Jeff Phang Joanna Groza...

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Jeff Phang Joanna Groza Global Warming 16 January, 2007 Summary of: "Environmental Problems Under Socialism" by Peter Hill The Problem: Oskar Lange argues that Socialist republics are better able to measure the social costs of pollution than a capitalist society; however, reports show that countries including Poland, Hungary, the former Soviet Union are much worst off environmentally than western European democratic nations . Externalities in Modern economic Theory: Pigou’s economic analysis states that there is a divergence between social and private benefit; another words, one party’s operations create a private benefit exceeding the social benefit to society that ideally should be compensated for with a reduction in production . Ronald Coase’s theory states that if transaction costs are low and the number of parties is low, a socially optimal result can result from private negotiations . Pigou understands the possibility of compensation while Coase focus is on property rights and transaction costs
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This note was uploaded on 04/11/2009 for the course HNR 94 taught by Professor Groza during the Winter '07 term at UC Davis.

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summary of socialist article - Jeff Phang Joanna Groza...

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