Externality or sustainability economics?

• Published in: Ecological economics Vol. 69; no. 11; pp. 2047 - 2052
• Main Author: van den Bergh, Jeroen C.J.M.
• Format: Journal Article
• Language: English
• Published: Elsevier B.V 15.09.2010; Elsevier
• Series: Ecological Economics
• Subjects: Climate change; Climate change Dynamic externalities Rebound Spatial sustainability Resilience Steady-state economy Strong; Conceptualization; Dynamic externalities; Environmental economics; Externalities; Rebound; Resilience; Spatial sustainability; Steady-state economy; Strong/weak sustainability; Sustainability; Sustainability policy; Systems thinking; weak sustainability Sustainability policy Systems thinking; Climate change; Sustainability policy; Spatial sustainability; Strong/weak sustainability; Dynamic externalities; Rebound; Steady-state economy; Systems thinking; Resilience
• ISSN: 0921-8009; 1873-6106
• DOI: 10.1016/j.ecolecon.2010.02.009

In an effort to develop “sustainability economics” Baumgärtner and Quaas (2010) neglect the central concept of environmental economics–“environmental externality”. This note proposes a possible connection between the concepts of environmental externality and sustainability. In addition, attention is asked for other aspects of “sustainability economics”, namely the distinction weak/strong sustainability, spatial sustainability and sustainable trade, distinctive sustainability policy, and the ideas of early “sustainability economists”. I argue that both sustainability and externalities reflect a systems perspective and propose that effective sustainability solutions require that more attention is given to system feedbacks, notably other-regarding preferences and social interactions, and energy and environmental rebound. The case of climate change and policy is used to illustrate particular statements. As a conclusion, a list of 20 insights and suggestions for research is offered.