Chapter 10 summary

Chapter 10 summary - Economic Development Chapter 10...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Economic Development Chapter 10 Summary The Environment and Development This chapter examines the economic causes and consequences of environmental devastation and explores the potential solutions to the cycle of poverty and resource degradation. 7 Basic issues that define the environment of development. 1. Concept of sustainable development and linkages between the environment 2. linkages between population and resources 3. poverty 4. economic growth 5. rural development 6. urbanization 7. global economy Sustainability – meeting the needs of the present generation without compromising the needs of the future generations. - if and only if the stock of overall capital assets remains constant or rises over time. Environmental Accounting:- (David Pearce, Jeremy Warford) - Environmental Capital: forests, soil quality, rangeland - Sustainable development: requires that these overall capital assets not decrease - Sustainable Net National Income (NNI): The amount that can be consumed without diminishing capital stock - NNI* = GNI – Dm – Dn - where - Dm = depreciation of manufactured capital assets - Dn = depreciation of environmental capital - better NNI* = GNI – Dm – Dn – R – A - R = expenditure to restore environmental capital - A = expenditure required to avert destruction of environmental capital. Population, Resources and the environment - Perception that we may reach a limit to the number of people whose needs can be met with earth's finite resources - despite advances in technology, out present path of accelerating environmental degradation would severely impede the ability of future generations to meet their
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 10/09/2010 for the course ECON 313 taught by Professor Iforget during the Spring '10 term at McGill.

Page1 / 3

Chapter 10 summary - Economic Development Chapter 10...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online