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* * * * * * * * This model concludes that standards of living have been rising with population for as long as records have been kept and as such there is no reason to believe the trends will not continue. The observations that lead to this conclusion include: The amount of land committed to agriculture is increasing and agricultural production is increasing. Natural resources have not become more scarce over time. Pollution levels have declined with increases in populations and incomes. As incomes rise, the demand for better environmental quality also rises. Thus rising incomes can be linked to declines in pollution. A continuation of these trends is expected because the “ultimate resource” on which future activity depends is not limited. This resource is people. The Road Ahead This section suggests that these very different worldviews can result in different policy choices and ultimately in costly errors if one view is correct and policies are based on the other. Issues to Explore Does the earth have a finite carrying capacity? How does the economic system respond to scarcity? What is the role of the government in solving these problems? When is government intervention necessary and appropriate? Do our economic and political systems deal well with the uncertainty associated with many environmental problems? What is our obligation to future generations? Is sustainable development feasible? 200 years ago almost everywhere human beings were comparatively few, poor and at the mercy of the forces of nature, and 200 years from now, we expect, almost everywhere they will be numerous, rich and in control of the forces of nature * * * * * * * * * * * * * * * * * * * * * * * * * * * Environmental Economics Sedef Akgüng?r Lecture 1 Course Introduction and Objectives The aim of the course is to explore the economic basis of environmental issues and policies. The course content covers the sustainability issues with emphasis on current generation efficiency and intergen
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