Problem

Environmental policy restrictions on economic development

Other Names:
Restrictions on industrial development due to environmental considerations
Nature:

Economic development and preservation of the environment are often considered to pose a dilemma; environmental issues inevitably have their economic components. Environmental legislation and standards may cause inflation, increased costs and prices, generate unemployment, bring about plant closures, or discourage new investment. The growing pressure of public opinion in many industrialized countries has resulted in newly enacted environmental laws which have delayed a number of industrial projects.

Counter Claim:

Environmental regulations are seen to confer substantial societal benefits including a healthier environment; employment is stimulated through the creation of jobs in the pollution control equipment industry and jobs for those who operate and maintain this equipment. The measured costs of pollution control are probably upwardly biased, because the input-output computation overstates the cost by not considering input coefficient changes in response to environmental control standards and costs. Moreover, studies include cost increases in major polluting industries, but exclude any cost savings conferred through increased industrial productivity. The negative effects of environmental regulations on rate of growth are likely to be small, and overall costs of pollution control measures in developed market economy countries are of the order of 0.75 - 2.0% of GNP.

Problem Type:
E: Emanations of other problems
Related UN Sustainable Development Goals:
GOAL 1: No PovertyGOAL 2: Zero HungerGOAL 3: Good Health and Well-beingGOAL 4: Quality EducationGOAL 5: Gender EqualityGOAL 6: Clean Water and SanitationGOAL 7: Affordable and Clean EnergyGOAL 8: Decent Work and Economic GrowthGOAL 9: Industry, Innovation and InfrastructureGOAL 10: Reduced InequalityGOAL 11: Sustainable Cities and CommunitiesGOAL 12: Responsible Consumption and ProductionGOAL 13: Climate ActionGOAL 14: Life Below WaterGOAL 15: Life on LandGOAL 16: Peace and Justice Strong InstitutionsGOAL 17: Partnerships to achieve the Goal
Date of last update
24.04.2019 – 15:10 CEST