Wednesday, 10 December 2014

Selling Climate to Save It


Unless you've been living under a rock, I'm sure you've heard of eco-tourism; perhaps you've even been on a holiday specifically because it was classified as 'eco'.

 Eco Tourism, keywords:
 eco tourism eco tourists gas fossil. fuel Africa giraffe Rhinosaur cartoon

What you may not know, is that eco-tourism is just one little part of something much, much bigger. 

Over the past few decades 'green capitalism' become prevalent at all levels of society. It emerged around the same time as neoliberal economic policy in the 1970s and 80s and was built upon the same market principles.

The key idea underlying green capitalism is that environmental degradation is a result of the undervaluation of the environment itself within traditional markets (Castree, 2010). The reasons for this can be summarized under the principles of the tragedy of the commons:

The Tragedy of the Commons:

Hardin's (1968) economic theory essentially discusses a common piece of land that can be analogous for the environment as a whole. The land is shared between members of a community for the grazing of each individual's livestock. The dilemma he proposes is that since the animals are all individually owned, the benefits reaped from grazing are reaped by individuals. However, the damage done to the common by each individual's cows are shared among the community as a whole. Since the individual benefits of grazing far outweigh the shared cost to the land, it is economically rational in the short-run for farmers to graze as much as possible. The issue: in the long run, the common becomes entirely barren and the farmers are left with nothing to feed their cattle. What makes this scenario a tragedy it occurs even when individuals are aware of what their actions will lead to in the future; there is an incentive to use the remaining resources before other individuals deplete them (Paavola, 2011). Individually rational actions, do not always produce a collectively rational outcome (Coleman, 1990)

Despite constantly being criticised for its actual applicability to real life (this seems like a pretty common thing for economic theory and Elinor Ostrom actually won a nobel prize for her critical take on the theory), an area in which is seems to apply quite nicely is climate change.

Climate Change: Climate change: the ultimate ‘tragedy of the commons’? (Paavola, 2011)

So then, how does this work. Well proponents of neo-liberal strategies argue that the atmosphere can be thought of as a common, we all need it in our carbon driven economies, but it is not individually owned by anyone. It is essentially a sink for GHG emissions resulting from consumption and production of goods. Climate change can then be thought of as an ultimate tragedy of the commons since it is in each individual’s interests to profit from exploiting the shared resource of the atmospheric carbon sink, yet the responsibility for maintaining it at a sustainable level (whatever this level may be) is a global burden.

This really falls into behavioral ideas of myopia again; as humans we tend to prioritise what is immediately in front of us over the bigger picture and more distant issues. This can specifically be thought of as selfish-actor myopia as exhibited by this quotation from Hardin himself:

‘Each man is locked into a system that compels him to increase his herd without limit--in a world that is limited. Ruin is the destination toward which all men rush, each pursuing his own best interest in a society that believes in the freedom of the commons. Freedom in a commons brings ruin to all’ (Hardin, 1968 p.248)

This reminds me a bit of the opening monologue to the fellowship of the ring, I wouldn’t be surprised in Hardin took some inspiration from JRR Tolkien.



Selling Climate to Save It:

If we are therefore going to believe this idea, then the answer to climate change (as a form of environmental degradation) needs to come from a correction of this market issue.

In my next post I’m going to talk about the privatisation of the ‘commons’, focusing on exactly how a shared resource like the atmosphere can be allocated to individuals.


Secret Link for LOTR fans





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