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Brian Czech • Why teach ecological economics? • Three major themes • Course objectives • Syllabus “Natural resources originate from the mind, not the ground, and therefore are not depletable.” Robert L. Bradley, Jr., 2002 Perfect Storm in Political Economy • Henry George • Progress and Poverty, 1879 • George vs. land barons • Incipient tax code at stake • Establishment of American economics • The Corruption of Economics (Gaffney, 1994) Y = (K, L) Czech, B. 2009. The neoclassical production function as a relic of anti-George politics: implications for ecological economics. Ecological Economics 68:2193-2197. • Solow model • Lucas model • Romer model Y = (K, L) Business Household Business Household • Ecological economics movement • Laws of thermodynamics • Principles of ecology Herman Daly Natural Natural Capital Capital Pollutants Heat Natural Natural Capital Capital Pollutants Heat Scale (Sustainability) Daly Distribution Allocation (Justice) (Efficiency) Martinez-Alier Costanza • Provide a historical sketch of economic thought in the post-mercantile world. • Using examples, describe why the principles of ecology are relevant to economics. • Identify the laws of thermodynamics and discuss how they affect the development of ecosystems and economies. • Provide a general description of the scope and philosophy of neoclassical economics. • Identify the factors of economic production and discuss how their relative importance has evolved in economic theory. • Discuss the strengths and weaknesses of neoclassical economics in terms of its ecological foundations. • Describe the trophic structure of the human economy. • Identify the sources of economic growth and discuss the interaction among these sources. • Describe the status and trends of the factors of production. • Explain why biodiversity and other natural resources conservation has become a function of macroeconomic policy. • Identify the goals and most prominent policies of neoclassical and ecological economics. • Describe the unique political pressures placed upon the economics profession and how these affect theory and policy. • Describe the economic policies and prominent political aspects of the steady state economy. • Define the term “political economy” and propose a model of political economy conducive to a sustainable society and uses of natural resources. • Time of the essence –For ecological economics instruction –For us! (Here too, even.) • Undergrad or Grad (One Course) • Significant ecology, economics, and teaching background Daly, H. E., and J. Farley. 2003. Ecological economics: principles and applications. Island Press, Washington, DC. 450pp. • 23 chapters • Strong focus on 3 themes • Second edition soon Jackson Czech Victor • An Introduction to Ecological Economics • The Containing and Sustaining Ecosystem • Microeconomics • Macroeconomics • International Trade • Policy • More historical background • More principles of ecology – Trophic levels – Niche breadth – Competitive exclusion • More about technological progress GDP K Natural capital allocated to economy of nature Natural capital allocated to human economy Time K To conserve fish and wildlife... ...maintain steady state economy sufficiently below K. Time X natural capital allocable KU GDP KT Natural capital allocated to economy of nature Natural capital allocated to human economy Time K U X natural capital (still) allocable GDP Capital-free growth zone Natural capital allocated to economy of nature KT2 KT1 Natural capital allocated to human economy Time • Remind students of themes. • Keep discussions focused on textbook. • Seek optimum participation. • Allocate more time to material you are familiar with. • Do supplement text(s) with ecology. • CASSE, www.steadystate.org • International Society for Ecological Economics • Gund Institute for Ecological Economics • U.S. Society for Ecological Economics • Economics for Equity and the Environment, “E3 Network” • Global Development and Environment Institute, Tufts U. • The Post-Autistic Economics Network • Bibliography • Reprints • Slideshows • Videos • Speakers • News www.steadystate.org