What do Frito Lay’s potato peels, Wal-Mart’s delivery trucks, and Goldman Sachs’ relationship to Rainforest Action Network all have in common?

Slides:



Advertisements
Similar presentations
Business Essentials: Unit 3 The U.S. Business Environment
Advertisements

ECONOMICS.
The American Economy What are the major factors and theories that determine how people and businesses make economic decisions in the USA?
Trade and Economic Growth
Environmental Economics. Ten Key Insights from Economics which Policy-Makers Need to be Aware of Economic and environmental systems are determined simultaneously.
The Environmental Debate The Environment and Politics 1. Since the 1970s, there has been a debate over the state of the environment and the role of government.
Ec 123 Section 2 THIS SECTION –National Income Accounting –Prices –Examples: The Great Depresssion & Japan NEXT –No class 4/14 –Section 3: The theory of.
CHAPTER 4 ENVIRONMENTAL ECONOMICS AND CONSUMPTION WALL TO WALL, CRADLE TO CRADLE CHAPTER 4 ENVIRONMENTAL ECONOMICS AND CONSUMPTION WALL TO WALL, CRADLE.
Environmental Policy. Population and The Environment A significant concern for policymakers is the rapidly growing world population population=
Chapter 14-1 Chapter 14 BUSINESS & SOCIETY Ethics and Stakeholder Management Carroll & Buchholtz 6e Business and Society: Ethics and Stakeholder Management,
ENVIRONMENTAL RIGHTS ARE HUMAN RIGHTS
Globalization: The Example of Dubai.
Climate Change Policies Market failure and possible government failure.
Problems of the Environment. What are some of the primary environmental problems faced today? What groups in society are the most concerned about the.
1 An Investment Framework For Clean Energy and Development November 15, 2006 Katherine Sierra Vice President Sustainable Development The World Bank.
Green Economy Initiative Derek Eaton UNEP UNCEEA, June 2010.
Environmental Policy Choices in Developing Economies Lecture 22.
Capitalism, the Free Market & Free Enterprise Capitalism Rocks!
Sustainable tourism. What is sustainable tourism? Tourism managed so it does not threaten the natural, social and cultural resource base on which the.
Reaction and Reform: New Economic Theories
VIEWS OF OUR WORLD. GLOBALIZATION  The process by which societies, cultures, politics, and economies around the world are becoming increasingly integrated.
Characteristics of Market Economy
Chapter 20 Sustainability, Economics, and Equity
Wolfgang Sachs Fairness in a Fragile World. FAIRNESS AND EQUITY IN A FRAGILE WORLD --- THE Johannesburg Memo SACHS, P.31 The Rio Earth Summit sought to.
ECONOMIC COLLAPSE ALEJANDRES GANNON UC BERKELEY. INTERNAL LINKS What causes the economy to collapse matters for The manner in which it collapse The type.
Business and Environment Environmental Issues. Why should one study subject on environmental issue? Business Natural Environment Ecosystem 2 Environmental.
UDA: Global Warming.
American Government and Politics Today
Sustainability Issues
Unequal Development: the Chicken or the Egg. Why is there uneven development? Why doesn’t Papua New Guinea just buy mechanized farm equipment? Or build.
Reaction and Reform: New Economic Theories World History - Libertyville HS.
1 Green Growth through Regional Cooperation Hongpeng Liu Chief Energy Security & Water Resources Section Environment and Development Division UN Economic.
Middle East Economics Pop Quizzes.
Economics: American Free Enterprise
What is Economics? Chapter 18.
The way to help planet Earth
BASES OF INTERNATIONAL MARKETING CHAPTER 1. At the end of this chapter, students will be able to discuss: Export Behavior Theories and Motives Internationalization.
Man as the constituent of environment  Man’s interaction with both living and non-living  Living includes both animals and plants  Non-living includes.
Science and the Environment Chapter 1 Section 1: Understanding Our Environment Section 2: The Environment and Society Chapter 1 Section 1: Understanding.
American Government and Politics Today Chapter 15 Domestic Policy.
Energy Transformation for Green Growth Pathways for Sustainable Energy Security to Power India’s Economic Growth 29 August 2015, Kolkata.
Chapter 7: Economic Growth and Development. 7.1 Defining Economic Growth A country’s standard of living depends on its ability to produce goods and services.
Ayumi Konishi Director General, East Asia Department Asian Development Bank CCICED Annual General Meeting 2015 Forum G20 and Green Finance 11 November.
Corporate Responsibility, Fair Trade Networks and Questionable Labour Practices Corporate Responsibility, Fair Trade Networks and Questionable Labour Practices.
Chapter 1 Science and the Environment. 1.1 Understanding Our Environment What is Environmental Science?  The study of the impact of humans on the environment.
One step forward, two steps back: On the politics of sustainability in the United States Sandy Rikoon University of Missouri
CH 23: ECONOMICS, ENVIRONMENT, AND SUSTAINABILITY Andrew, Summer, Nisha.
Going Green U.S. Environmental Policy. “ So we have a choice to make. We can remain one of the world’s leading exporters of foreign oil, or we can make.
Unit 1: What is economics all ABOUT? Chapters 1-6.
Bio-Fuels: Opportunities and Challenges 9 th Annual Farmer Cooperative Conference T. Randall Fortenbery Renk Agribusiness Institute Dept. of Ag and Applied.
Chapter 20 Sustainability, Economics, and Equity
Copyright © 2014 Cengage Learning DOMESTIC POLICY Chapter Fifteen.
The Market System and the Circular Flow Chapter 2 Catherine Boulatoff (section 02)
Problems of the Environment. ??? What are some of the primary environmental problems faced today? What groups in society are the most concerned about.
Business Organizations Forms of Business Organizations Business Growth and Expansion Other Organizations.
Introduction to Economics What do you think of when you think of economics?
Globalization A process that makes something worldwide in its reach or operation. Globalization is often used in reference to the spread and diffusion.
Characteristics of Free Enterprise Capitalism
Sustainability in the Supply Chain 5 © 2014 Pearson Education, Inc. SUPPLEMENT.
Entrepreneurship & the Economy
Global Impacts and Global Organizations. Environmental Challenges Technology and industrialization have helped to raise the standard of living for many.
Welcome Carol Berrigan Nuclear Energy Institute July 13, 2015.
Green Logistics & Freight Transport Asso.Prof. Sathaporn Opasanon (PhD.) International Business, Logistics and Transport Thammasat Business School September.
FOREIGN & DOMESTIC POLICY UNIT IV – Legislative and Executive Branch.
Characteristics of Free Enterprise Capitalism
Sustainability The ability of earth’s various natural systems and human cultural systems and economies to survive and adapt to changing environmental conditions.
Objectives Describe the ways in which countries around the world are interdependent. Understand how international treaties and organizations make global.
The Global Environment Picture
Sustainability, Economics, and Equity
Sustainability, Economics, and Equity
Presentation transcript:

What do Frito Lay’s potato peels, Wal-Mart’s delivery trucks, and Goldman Sachs’ relationship to Rainforest Action Network all have in common?

Ecological Modernization

Ecological Modernization Theory: 1) Protecting the environment, reducing resource use, and reducing pollution are good for business and for the planet 2) Businesses and society are increasingly accepting that it is possible to “de-link” economic growth and resource flows

EM Theory seeks to counter three major arguments about the relationship between the economy and the environment: 1. Economic growth and the environment are fundamentally incompatible. When in conflict the needs of business should triumph over the needs of the environment. 2. Economic growth and the environment are fundamentally incompatible and the needs of business will always win under capitalism. However, this will eventually lead to capitalism’s and/or modern society’s self-destruction. 3. We need to focus on economic growth in order to be able to worry about environmental protection somewhere down the line.

The original Endangered Species Act specifically said that cost was irrelevant in determining whether a threatened species should be protected. The Clean Water Act: All the country’s waterway should be safe for fishing and swimming.

“We’ve got to pause and ask ourselves: How much clean air do we need?” — Lee Iacocca (Then CEO of Chrysler)

Cost benefit analysis: Are the benefits of a particular environmental policy worth the costs? ? “Kyoto would have wrecked our economy.” ~ George W. Bush, June 30, 2005

Neomarxism and radical ecology A radical shift in our economic, political, and social structure is required if eco- catastrophe is to be averted. Capitalist production will eventually destroy the natural resource base necessary for its continuation.

The Environmental Kuznets Curve Economic development will eventually lead to environmental protection.

Ecological Modernization Theory rejects the inevitability of conflict between economic growth and the environment There can be, and increasingly is, a “win-win-win” situation in which technological change and a significant movement to energy efficiency, greener production and consumption can benefit the economy, people, and the environment.

Techno-Corporatist Ecological Modernization It is possible to “de-link” economic growth and resource flows through: It is possible to “de-link” economic growth and resource flows through: Energy efficiency Energy efficiency Improved technology Improved technology Closed-loop production Closed-loop production This de-linking will help the environment and increase industry profits.

Goal: To double delivery truck fleet fuel efficiency by 2015 Goal: To sell 100 million compact fluorescent bulbs a year by 2008, increasing total sales of the bulbs in the US by 50 percent Goal: To drastically reduce store energy use through skylights and high efficiency light and temperature regulation Wal-Mart has become a leader in promoting energy efficiency.

Goal: To be seen as a good corporate citizen while saving money in fuel and energy costs “The environment is begging for the Wal-Mart business model.” ~ H. Lee Scott, Jr., Wal-Mart chief executive

Buys green energy credits that amount to 100% of the energy used to make Sunchips Is putting a bank of solar panels in at their plant in Modesto that will provide 75% of the energy used in that plant Is transforming its plant in Casa Grande, AZ to a “net-zero” plant.

Reflexive Ecological Modernization: The greening of states and society Changes in cultural attitudes and the structures of states and other institutions is enabling an environmentally sustainable form of modern society to emerge. Environmental concerns are being institutionalized in individual and corporate decision-making as values in themselves not just because they are profitable or trendy.

Reflexive Ecological Modernization: The greening of states and society Shift in states from top-down regulation to working with industry to reduce pollution through negotiation, market incentives and environmental taxes Cap and trade programs Cap and trade programs EPA and Department of Commerce’s Green Suppliers Network EPA and Department of Commerce’s Green Suppliers Network

Reflexive Ecological Modernization: The greening of states and society Key role for NGOs, including interacting with industry and encouraging them to be more environmentally conscious

Reflexive Ecological Modernization: The greening of states and society Movements such as “small is beautiful” and local food co-ops eclipsed by the greening of large industries. Green consumerism

To Ecological Modernization theorists, these three sets of changes represent a radical shift in the relationship between the environmental and the modern, capitalist political economy.

“The President knows that overcoming extreme poverty goes hand-in-hand with improving the environment. Stagnant economies are one of the greatest environmental threats in our world, because people who lack food, shelter, and sanitation cannot be expected to preserve the environment at the expense of their own survival - and poor societies cannot afford to invest in cleaner, more efficient technologies.” ~ From

Ecological Modernization in Southeast Asia’s paper mills? YES: Adoption of best technologies from the start Collaboration between governments and industry Important role for NGOs and social movements NO: Changes not seen in small and medium size plants Increased resource extraction (deforestation)

Critique: Breadth of the changes Is enough happening, and will it happen soon enough, to really make a difference?

Critique: Permanence of the changes Will corporate and consumer interest in energy efficiency continue if energy prices fall? ?

Adjusted oil prices,

Critique: Lacks a theory of social change How many incidents of ecological modernization does it take for them to be indicative of a larger transformation? How many incidents of ecological modernization does it take for them to be indicative of a larger transformation? Under what social/political/economic conditions is ecological modernization more or less likely? Why? Under what social/political/economic conditions is ecological modernization more or less likely? Why?

Critique: Environmental and social justice Is it acceptable to detach environmental protection from other social change goals?

“In the end, the empirical question will of course remain whether these radical environmental reforms will be sufficient to deal with the - to a large extent socially constructed - criterion of sustainability.” ~ A.P.J Mol