ARE WE REACHING LIMITS ON GROWTH (extinction=bad)?
· Feedback loop: Rates and levels
o Rates: flows that cause levels to change
o Levels: accumulations within the system
o Multi-loop nonlinear feedback system: action circular, takes place in feedback loop
o Cause and effect is circular
· World3: Tries to determine carrying capacity of earth
o Results set out on page 33 of text, along with consequences of taking certain actions to try and keep quality of living variables at different levels
· Process politics: political systems, not political outcomes are the measure of fairness
o Allows for growth to be the thing which elevates the poor – not rich sacrifice
o According to reading: process politics will lead to revolution, because we would have real scarcity
o But so will imposing Club of Rome Report
o Either way we have politics of scarcity
ECONOMISTS VIEW OF POLLUTION: Resources should be used in most efficient manner to maximize total human satisfaction: Optimal pollution level is economically correct level (Pareto Optimality)
· General economic theories:
o Pareto Optimality: level of pollution where one more unit would make nobody better off
o Boulding: Ecological view on economist’s theory: we should put more economical value on maintaining
o Market failure: cost of pollution not paid by polluters
o Pigou: force polluters to internalize externalities (neoclassical economics)
§ Implies strict liability
o Calibresi:
§ Property right: injunction: if you think they have no right to be polluted on
§ Liability right: forces people to sell or buy specifie property rights
· Coase Theorem: Pollution is not caused only by polluter
o Pollution reciprocal, cannot assign legal rights to it (Ch. 1)
o Therefore cannot internalize it
o Proper
wsuit: analyzed by Coase theorem
§ Would put people out of jobs
§ Company using standard method of disposing gob
§ Not based on fact that people weren’t annoyed by gob, based on fact that damage done by forcing nuisance suit would damage community
§ A large-scale legal system could go with Pigeut, but small courts in local trials will undoubtedly consider outside costs
ú So you need mutual coercion mutually agreed upon
ú Coasian: benefits of abatement high to where optimal level is current level
§ No injunction or damages
o Waschak v. Moffat
§ Nuisance law – unintentional nuisance.
§ Land being used in normal and customary manner without neg.
D not culpable because: not foreseeable, unintentional
