Origins Of Our Economic Worldview Essay Example for Free

Origins Of Our Economic Worldview Essay Nature is a wonderful tool that heals all by itself and it is a very well known fact. It is said that if nature is provided with enough time she would heal herself and that includes the affects of human activities too. But the basic question to this argument is the time duration or in other words what is the time taken to heal such wounds? It has been estimated that the unknown civilization that was wiped out of the Easter Island was due to deforestation. Human interventions devastated the ecology and subsequently themselves and still after about 1000 years the island is still grassland with little foliage. This is the point that was instrumental in developing the factors of ecological economics. Ecological economics is regarded as a subfield of economics that deals with issues that are, broadly speaking, related to the ecological concerns. The main purpose of Ecological economics is to use the universal methods of economics, mainly and mostly neo classical, to achieve its goal. According to Davis Lamb the ecological economics’ focal point is to centralize on the perception of externality of environment. In other word some or more of the outcomes of a commotion are not evaluated in accordance to its fiscal result. As an example he states that when the pollution level of a given state reaches its optimum level the price of the producer of this pollution subject should be taken into consideration otherwise the balance would be in the brink of commotion. Therefore it is encouraged to formulate the outcome of a polluting medium in respect of utility oriented price format. According to the Coase Theorem the assigning property rights is based on a fact that there is all probability that this application would lead to an optimal solution of ecological policies of economics whereby in accordance to regardless of who receives them, the basic cost of transaction would reveal an inconsequential state where the stake holders of the negotiating parties would be minimized. In other words, if there is a factory operating over a substantial period of time and polluting the surrounding area all along the way and the local population is suffering for that reason then a negotiation committee should be set up to find a perfect formulation that would help either way. One of the most logical conclusion could be the factory would be held responsible for the pollution and the suffering of the local population as the factory is polluting and banishing the local population’s right to proper and healthy environment. For this the factory should pay the local population as a price for a better living surrounding. Ecological economics in today’s world is one of the most relevant issues concerned. It should be remembered that the perception of Ecological economics is directly included into the peripheral view of the subject economics and is inseparable in nature. It is also believed that Ecological economics is in actuality three-fifths of ecology as per economist Mike Nickerson. Ecological economics is often regarded as a consolidation of conventional economics and political economy. Ecological finance and theories of natural capitalism are also highly influenced by the variables of Ecological economics. According to the DETR, government policies will strive to ensure that the countryside is environmentally protected while at the same time maintaining its working nature, thereby contributing to national prosperity as part of a competitive economy. The government stresses the need for social, economic and environmental concerns all to be considered together. Whether though the current legislation is in fact meeting such objectives is debatable. The most substantial protection for the habitat in the UK from the point of vie of Ecological economics is to be found in the Wildlife and Countryside Act 1981 which specifically provides for the designation of certain areas, known under the Act as ‘sites of special scientific interest’ or SSSI’s, for protection. The Act (Section 28(1) WCA 1981) provides for guidelines on designation criteria with the effect that designation will be likely if the area is ‘of special interest by reason of any of its flora, fauna, or geological or physiographical features’. (McEldowney, 1999) In fact, if the area in question satisfies these criteria, then the Nature Conservancy Council must deem the areas to be under strict regulation. This ruling was most notably exemplified by the case of R v Nature Conservancy Council, ex parte London Brick Property Ltd. In conclusion it could be stated that despite the first glance opinions by the scientific and economic communities Ecological economics and habitat protection suggests that equal importance is in fact proffered to the environment than it is to the economic interests of those bound by the laws, in practice the laws have been implemented in such a fashion as to, in the main, permit an acceptable level of a balancing of interests of all concerned, a result which is not easily reached and is therefore to be applauded.