Money as an indexThere are various methods to include externality. The common sense is that those methods consider the environment as an easy unit, and limit the consideration in micro range.
Inclusion is partial optimization on space axis and time axis. But it has quick effect.
Considering the ownership of the environment, ethics include the ownership of the people in the future. But can we decide the ownership of unknown people ?
Tax : to purify the pollution by polluter. And control the amount of pollution by money. Polluters are both makers and users.
Financial aid : enhance the action
Give price the environment. The process to measure the price is called "Environmental evaluation". Environmental evaluation uses only one index, "money", to measure the complex environmental system.
CVM stands for Contingent Valuation Method. It uses Questionnaire to measure the price. It can put prices for everything. But validation of the price is not clear. The questionnaire is for example, "How much you can pay to keep this landscape for a year ?"
Use actual price for repair or treatment. This method does not include the price of the damage of the heart and wide range problems.
NEXT Money as an index
Tweet