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2017 | OriginalPaper | Buchkapitel

Defending Environmental Economic Instruments Against the Economists and Their Opponents

Strengthening a Major Tool of Transformation to Sustainability

verfasst von : Felix Ekardt, Jutta Wieding

Erschienen in: Environmental Law and Economics

Verlag: Springer International Publishing

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Abstract

Both advocates and opponents of economic instruments in environmental policy base their opinions on neoclassical economics, which they then either welcome or criticize. This paper aims to show that economic instruments are still (or especially) effective policy approaches for transformation towards sustainability, if assuming that those basic assumptions are wrong. This applies to six focal points: (1) In the common perception of economic instruments such as emissions trading, they trigger technical innovation and will thus enable environmental protection while continuing to generate economic growth. It is ambiguous however, whether environmental protection will be successful if purely based on technical solutions. Economic instruments are also fit to trigger sufficiency. (2) This is closely linked to the question whether the necessity of sufficiency will undermine the growth society. While there are some indications suggesting that, consistent environmental protection with economic instruments is still economically more efficient than all other reactions to the environmental crisis. (3) Discussing internalizing external effects, assumes that economic evaluation is a viable method to establish exactly which costs need to be internalized. Contrarily however, economic instruments do not require economic evaluation welcomed by some, criticized by others. (4) Economic instruments are not mainly eligible because of their (demanded by some, criticized by others) cost efficiency, but from their ability to overcome rebound and displacement effects. (5) Policy proposals need verified assumptions on how norm addressees are behaving and how they will react to governance incentives. Economists rely on the behavioural model of homo oeconomicus, which critics consider outdated. However, the general notion that economic instruments are only effective under the condition that people behave like a homo oeconomicus is wrong. (6) Economic instruments are discussed by both advocates and opponents as answer to single environmental problems, with climate change dominating the de-bate for some time now. A special argument in favour of economic instruments as means of quantity control can be made because they address different environmental issues at the same time – without causing invincible compliance problems.

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Vorheriges Kapitel Environmental Law and Economics in Europe

Nächstes Kapitel Escaping the Epistemic Trap

With further references Ekardt 2016, § 1 B.

See Gerber 2015, pp. 75 et seq. For a history of energy consumption.

See on implications of diet for example Voget-Kleschin et al. 2014, pp. 13 et seq. and passim; Ekardt 2016, pp. 343 et seq.; Stoll-Kleemann 2014; Stoll-Kleemann and O’Riordan 2015.

However, the expectation of complete recycling, potentially even supposing exclusively harmless substances in 100% of economic activity is not realistic. More on criticism of the so-called cradle-to-cradle concept see the fundamental issue of weighing fundamental decisions; Ekardt 2016, §§ 1 B. II., 5 A.

See Ekardt 2016, §§ 1 B., 6.

See Ekardt 2016, § 1 B. I. for an overview of the expert discourse.

For exact figures see Ekardt et al. 2015a, b, c; Ekardt 2016, §§ 1 B. III., 5 C. IV.

Gawel et al. 2015, pp. 18 et seq.; Deutscher Bundestag 2013, p. 497; Böcher and Töller 2012, pp. 22 et seq.; Oberthür 2008, pp. 49 et seq.; Lindenthal 2009; explicitly critical Becker and Richter 2015, pp. 3 et seq.; in parts also Moreno et al. 2015, pp. 13 et seq.

See pars pro toto IEA 2015, pp. 1 et seq.

Concretely in a mainstream economic calculation even almost twice as much Peters et al. 2011, pp. 8903 et seq.; Hoffmann 2015, p. 20 with further references, Becker and Richter 2015, pp. 3 et seq.; Schmidt-Bleek 2014, pp. 80 et seq.

Neglected e.g. by Fatheuer et al. 2015, pp. 169 et seq.; on the empirical evidence Peters et al. 2011, pp. 8903 et seq.; Hoffmann 2015, p. 20.

Therefore one-sided Paech 2012; Sommer and Welzer 2014, pp. 72 et seq.

See for details Jackson 2013; Ekardt et al. 2015a, b, c, pp. 15 und 27 et seq.; in this direction also Stengel 2011, pp. 131 et seq.

See Hänggi 2011, pp. 131 et seq.; Bürkle 2015; DLR 2006.

See Heinrich-Böll-Stiftung et al. 2015, pp. 20 et seq.; Stoll-Kleemann 2014.

Schmidt-Bleek 2014, p. 65; Hoffmann 2015, p. 20.

For more see Ekardt 2016, § 6 E. V. 2.

Especially since most of them will compete with food production and cause further problems: Ekardt 2016, § 6 E. V. 1.

Apparent e.g. in Heyen et al. 2013, p. 9; Paech 2012; Hoffmann 2015, pp. 17 et seq.; Becker and Richter 2015, pp. 3 et seq.; Klingholz 2014, pp. 100 et seq.; Stengel 2011, pp. 134 et seq.

For more details on rebound and displacement effects see Ekardt 2016 §§ 6 D. IV., 6 E. III.

Hoffmann 2015, pp. 12 et seq.; Luks 2013, pp. 23 et seq. And 65 et seq.; Santarius 2015, pp. 81 et seq.; Heyen et al. 2013, p. 8; Becker and Richter 2015, pp. 3 et seq.; Bauriedl 2015, pp. 217 et seq.; missing the point Handrich et al. 2015, p. 27; Liebe and Preisendörfer 2013, p. 239 (242).

Closer calculated by Piketty 2016, p. 28; neglected by Liebe and Preisendörfer 2013, p. 239 (242).

Ekardt 2016, § 5 C.

See more in Ekardt 2016, §§ 1 B. III., 6 E. V. 2.

Details in Ekardt et al. 2015a, b, c, pp. 10 et seq.; more similar calculations are listed in Ekardt 2016, § 1 B. III.

Ekardt 2016, § 6 E. V. 1.

See Delucchi and Jacobson 2011, pp. 1154 et seq.

Exemplary Fatheuer et al. 2015, pp. 137 et seq.; Moreno et al. 2015, pp. 19 et seq. and passim; Bedall 2014, pp. 136 et seq.; accurately Linz 2015, p. 39 as well as Schneidewind and Zahrnt 2013, pp. 59 et seq. And Heyen et al. 2013, p. 16 without further explanation.

See Jackson 2013; Paech 2012; Schulz and Bailey 2014, pp. 277 et seq.; Scheidler 2015, pp. 205 et seq.; Jensen and Scheub 2014; Miegel 2010; unclear Muraca 2015, pp. 59 et seq.; Stengel 2011, pp. 163 et seq.

Examples for that – without clearly distinguishing from macroeconomic development – in Posse 2015, pp. 59 et seq.; Heyen et al. 2013, p. 18; Wilts and von Gries 2015, pp. 41 et seq.

Examples for that Liesen et al. 2013, pp. 5 et seq.

For more on that see Ekardt 2016, § 1 B. V.

For example Stern 2009, p. 11 or 92; Radermacher et al. 2011, pp. 105 et seq.; Handrich et al. 2015, p. 27; Fücks 2013, pp. 69 et seq.; Global Commission on the Economy and Climate 2014, pp. 10 and 40 et seq.; Deutscher Bundestag 2013, pp. 430 et seq.; see also Weimann 2008, p. 26 and Nordhaus 2008, pp. 32 et seq.

See Tichy 2009, pp. 4 et seq.; Paech 2005, pp. 84 et seq.; Hinterberger and Pirgmaier 2009, pp. 58 et seq.; more optimistic Kettner 2011, pp. 77 et seq.; Schneider 2014, pp. 71 et seq.; see also Kesselring 2015, pp. 1 et seq.

Even though technological options were underestimated by Meadows et al. 1972, the overall state of environment was predicted much to optimistically; correctly on this also Klingholz 2014; one-sidedly focusing on the omissions Fücks 2013, pp. 81 et seq.; actually outdated the scepticsm of Malthus 1977, who completely failed in recognizing technological potential.

Hey 2012, pp. 125 et seq.; Fücks 2013, pp. 120 et seq.; Herrmann 2013, pp. 239 et seq.; Klingholz 2014, pp. 303 et seq.; Luks 2013.

See on some of the following points Ott 2011, p. 54 (62 et seq.); Fücks 2013, pp. 120 et seq.; Muraca 2015, p. 84 and passim; Heyen et al. 2013, p. 18; Löhr 2015, pp. 365 et seq.

Ekardt 2016.

See Ekardt 2016, § 1 B. IV.; on the economic inefficiency of sufficiency options indeed Edenhofer and Jakob 2014, pp. 447 et seq.; accurately Stengel 2011, p. 163.

Also considering real costs of growth Seidl and Zahrnt 2010, pp. 179 et seq.

E.g. Endres and Holm-Müller 1998, passim.

E.g. Fatheuer et al. 2015, pp. 137 et seq.; Moreno et al. 2015, pp. 19 et seq. and passim; Bedall 2014, pp. 136 et seq.; Grefe 2016, pp. 180 et seq.

On the development Garske 2013, pp. 29 et seq.; Kosinowski and Groth 2011, pp. 34 et seq.

More on the following Ekardt and Hennig 2015.

More on the following Ekardt 2016, § 3 D.-ET SEQ.

Ekardt 2016, § 5 A.-C. II.

See also on this differentiation Ekardt and Hennig 2015, p. 24; Ekardt et al. 2015a, b, c, p. 8 and 16; Ismer 2014, p. 67.

More on the following Ekardt 2016, § 6 E.

See e.g. Hansjürgens 2009, pp. 241 et seq.; Bach 2009, pp. 19 et seq.; Binswanger et al. 1989, passim; also Winkler 2006, pp. 246 et seq.

More specifically detailed Meyer 2003, pp. 149 et seq.; Hamann 2014, pp. 250 et seq.; Scheidler 2015, pp. 106 et seq.; Kivimaa et al. 2015, pp. 2 et seq.; Ekardt 2016, §§ 1 D. iii. 3., 2.

In depth on this Groß et al. 2005, pp. 19 et seq.

Largely neglected by Schäpke et al. 2015, pp. 281 et seq.; Nowak and Highfield 2013, pp. 225 et seq.; Reisch and Bietz 2014, p. 103 and p. 105.

For example Milinski and Marotzke 2015, pp. 93 et seq.

Most recently by Ekardt 2016, § 2.

See Gronemeyer 2002, pp. 173 et seq. and passim.

See Ekardt 2016, § 1 A.

This is still true if supposed that people nowadays are determined by many very subtle mechanisms in jobs, leisure, romantic relationships, emotions, identities etc., even if this external determination utilizes the illusion of individual autonomy. One-sidedly therefore Schreiner 2015, pp. 104 et seq.; Schridde 2014; Gorz 2009, pp. 7 et seq. Building on Satre 1993 as well as Foucault 1969, pp. 30 et seq.; precise Fücks 2013, pp. 73 et seq.; Stengel 2011, p. 259; Prakash 2016, pp. 288 et seq.

Summarized by Ekardt 2016, § 2.

See also Deutscher Bundestag 2013, pp. 438 et seq.; Stengel 2011, pp. 183 et seq.; Schützenmeister 2010, pp. 267 et seq. Und 275 et seq.; Ekardt 2016, § 2; Welzer 2013.

While the different aspects cannot be precisely differentiated; Ekardt 2001, § 13. 3.c; Entzian 2016, pp. 32 et seq. And 187 et seq.; Wilson 2015, pp. 185 et seq.; Kuckartz 2010, pp. 144 et seq.; Ernst 2010, pp. 128 et seq.; Klöckner 2015, pp. 153 et seq.; Deutscher Bundestag 2013, pp. 438 et seq.; Bruppacher 2014, pp. 51 et seq.; Blöbaum 2012, pp. 233 et seq.; Beckenbach 2003, pp. 13 et seq.

Beyerl 2010, pp. 247 et seq.

See Milgram 1974, p. 183; Welzer 2013.

See Klöhn 2006, pp. 95 et seq.; Stoll-Kleemann et al. 2001, pp. 107 et seq.; more references in Ekardt 2016, § 2.

See Stoll-Kleemann et al. 2001, pp. 107 et seq.

On the more recent debate Giddens 1988, pp. 51 et seq.; Gimmler 1999, pp. 27 et seq.; Pogge 2007, pp. 967 et seq.; Habermas 1981; Blöbaum 2012; Greve 2015, pp. 9 et seq.; Mead 1968, pp. 187 et seq.; Soff 2010, pp. 85 et seq.

Explicitly on this: Greve 2015, p 20, who on p. 26 points out that individual actions cannot be allocated to “collective attributions” alone, because these attributions would again be actions, therefore leading to an infinite regress.

Similar in its intention: Habermas 1981; Giddens 1988, pp. 51 et seq.; Mead 1968, pp. 187 et seq.; Soff 2010, pp. 85 et seq.; and at last also Greve 2015, pp. 26 et seq.

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