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ENVIRONMENTAL ECONOMICS. Dr. M.B.Mule Professor & Head Department of Environmental Science, Dr. Babasaheb Ambedkar Marathwada University, Aurangabad. Terms and Terminology. Environment Economics Economic system Market Money Economic planning Programmes Policies Priorities.

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environmental economics

ENVIRONMENTAL ECONOMICS

Dr. M.B.Mule

Professor & Head

Department of Environmental Science,

Dr. Babasaheb Ambedkar Marathwada University,

Aurangabad.

terms and terminology
Terms and Terminology
  • Environment
  • Economics
  • Economic system
  • Market
  • Money
  • Economic planning
  • Programmes
  • Policies
  • Priorities
slide3
Importance of economics
  • Environment
  • Definition
  • Types – Micro & Macro

Ex. Hall, campus, city, country , world, globe

  • Components
  • Non living
  • Living
  • Physical and chemical phenomenon's and properties
  • Interaction among
  • Interdependence
  • Balance in biotic and biotic components
  • Complex network - invisibles
man environment
Man & Environment
  • Man a part of environment
  • Environment developed by the process of metamorphic change
  • Every component have importance
  • Importance of environment - for man
  • From living
  • Important animals (domesticated)
  • Important plants (cultivated)
  • Weeds
  • Predators / parasites
  • Harmful – tried to remove from environment
  • Beneficiary organism
  • Harmful organism
  • Competitors
slide5
Non-living components
  • Useful components
  • Top soil
  • Minerals
  • Rocks
  • Metals
  • Fossil fuels
slide6
Man – as dominating organism
  • Man developed systems
  • Economic, Social, Political, Educational systems
  • Economic system
  • Economics – skeletal system : backbone in human society
  • History : from prehistoric period
  • Kautilya’s – ‘Aarthshatra’- every dimension of human society.
  • Political system
  • Kingdoms- rules, regulations and responsibilities
  • Peoples responsibilities
  • Policy components
  • Strategies
  • Economic policies – various sections of human society
  • Concept of ‘Abhayarnaya’
  • Rules for hunting
  • Human is at the centre
present economic strategies and polices
Present economic strategies and polices
  • Common citizen – at the centre
  • Development of human society
  • Assessment of human development

- Per capita income

- Per capita availability and utility of natural resource

  • Development depends on natural resource
natural resource
Natural resource
  • What is natural resource
  • Definition : any material when obtained from surrounding environment and used for betterment of human society or which assess to man or which enhances the living standard of human life , then that material is categorized as natural resources.
  • Basic needs – i) air, ii) water iii) food iv) shelter v) cloths vi) social security (recently added).
  • Activities for basic needs – eg. Agriculture for food
  • Agriculture production – fetch in market – money used for assistance – agriculture become a natural resource.
  • Involved in development
man s development
Man’s Development
  • Depends on availability and utility
  • Unavailability – made available from market
  • Money - as a force
  • High convertibility
  • Importance of market in economy for human development
  • Human development policies – key role
  • Availability, exploitation , purification and utilization
  • Rate of human development - directly proportional
  • exploitation , purification and utilization results degradation of environment
  • Ex. Fossil fuels – various environmental problems
natural resources
Natural resources
  • Air
  • Water
  • Soil (top soil)
  • Rocks (stones)
  • Minerals
  • Metals
  • Fossil fuels (coal, shell oil, petrol, diesel, kerosene, LPG, gasoline etc)
  • Flora (forest, crop plants, grasslands, orchards)
  • Fauna (domestic and wild animals, fisheries)
resource value of components
Resource value of components
  • Forest
  • Fuel wood
  • Timber
  • Materials for house construction
  • Agricultural equipments
  • Railway sleepers
  • Raw materials to industry
  • Forest products
  • Paper
  • Fiber
  • Medicines
slide12
b) Grassland
  • Grazing
  • Agricultural land
  • Raw material for industries
  • Food and fodder

c) Aquaculture

  • Fishes (fishery)
  • Prawns (prawn culture)
  • Mollusc (pearl culture)
  • Aquatic plants
  • Duck farming
  • Whale dairy
slide13
d) Wild life
  • Food
  • Medicine
  • Fancy articles
  • Fragrance (cents)
  • Cosmetics
  • Skin (leather)
  • Fur
  • Other valuable products
slide14
e) Minerals
  • Chemicals
  • Useful compounds

f) Metals

  • Fe, Cu, Au, Zn, Hg, La, Ge, Ag, Pb etc.

g) Fossil fuels (coal, shell oil, petrol, diesel, kerosene, LPG, gasoline etc)

h) Top soil

  • Agricultural
  • Grassland
  • Forest
  • Cover
  • Environment provides resources and plays key role in human development.
degradation of environment
Degradation of Environment
  • Environmental problems
  • Air pollution
  • Water pollution
  • Soil pollution
  • Thermal pollution
  • Noise pollution
  • Radiation pollution
  • Marine pollution
  • Pesticide pollution
  • Vehicular pollution
  • Agricultural pollution
  • Eutrophication
slide16
Pollution due to sewage
  • Oil pollution
  • Deforestation
  • Desertification
  • Decreasing soil quality – fertility
  • Soil salination
  • Underground water pollution
  • Decreasing biodiversity
  • Decreasing genetic diversity
  • Decreasing ecosystem diversity
  • Decreasing oceanic diversity
  • Problem of acid rain
  • Photochemical smog
slide17
Ozone layer depletion
  • Hazardous waste and their problems
  • human health problems
  • Problems to aquaculture
  • New disease in cultivated plants
  • Emerging new kinds of disease in human society
  • Green house effect
  • Global warming
  • Climate change
  • Decreasing wild life
  • Extinction of wild life
  • Habitat loss of wild life
  • Decreasing crop plants diversity
slide18
Increasing disease susceptibility
  • Resistance development to germ and pathogens
  • Genetic abnormalities in plants, animals/ man
  • Problems of arctic and Antarctic regions
  • Depletory resource material
  • Decreasing fossil fuels
  • Degrading quality of resources
  • Pesticide residue and health problems
  • Flooding
  • Draught conditions
  • Increasing rate of extinction
  • Bioaccumulation of toxicants
  • Change in monsoon
  • Change in hydrological cycle
  • Cloud busting
  • Every problem – have adverse and beneficiary impacts
  • Adverse impact are dominated eg. Climate change
economic causes for degradation
Economic causes for degradation
  • Loss assessment in terms of currency
  • eg. Flooding
  • to crop plants
  • due to soil erosion
  • Due to damage to road, railroad
  • Blocking transport
  • Loss of working days
  • Loss of production in industries
  • Due to health problems
  • Money required to treat disease
  • Loss to house and artifacts
  • Loss to national monuments
  • Loss to public property
  • Benefits – deposition of silt improves soil quality at certain places
  • Need to consider the economic aspects of environment
benefits of environmental economics
Benefits of environmental economics
  • For protection of environment
  • Ex. Water loss during flooding
  • Thrown stored water
  • For identifying potential rate of development
  • For the sustainable use of resource
slide21
Economist give least value to environment- probable reason for rapid degradation
  • Fear of market failure
  • Pricing of goods
  • Less weightage the environmental services and maximum to man made activity
  • eg. Pricing of fish
  • Pricing of water
  • Not given cost to the environment
  • For conservation envirnmetnaleconimics can be used,
  • Eg. Plant Oxygen production
concept of conservation
Concept of conservation
  • Guarding – not good conservation
  • Partial use with protection – good conservation

Ex. Fish from pond

  • Conservation of environment means conservation of natural resources
  • Concept of sustenance
  • Properties of sustain ace
slide23
Economics of natural environmental components
  • Plants
  • Top soil and its value - for food grain production
  • No export
  • Values of gene
  • Value of wild life
  • Economics of non-renewable resource
  • Eg. Iron – ore – product cost
slide24
Concept of sustenance and 3 R
  • Reduce use
  • Reuse
  • Recycle
  • Conservation of nature means conservation of natural resources through economic policies
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