11 Apr '12, 3pm

Getting the Market to Tell the Truth

Moving the global economy off its current decline-and-collapse path depends on reaching four goals: stabilizing climate , stabilizing population , eradicating poverty , and restoring the economy’s natural support systems . These goals—comprising what the Earth Policy Institute calls “Plan B” to save civilization—are mutually dependent. All are essential to feeding the world’s people. It is unlikely that we can reach any one goal without reaching the others. The key to restructuring the economy is to get the market to tell the truth through full-cost pricing. If the world is to move onto a sustainable path, we need economists who will calculate indirect costs and work with political leaders to incorporate them into market prices by restructuring taxes. This will require help from other disciplines, including ecology, meteorology, agronomy, hydrology, and demography. Full-co...

Full article: http://www.treehugger.com/economics/getting-the-market-to...

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