Economics 4 Marks Question

1. Absorptive capacity of the environment: It means the ability of the environment to absorb degradation without causing environmental damage.
2. Carrying capacity of environment: It implies that the resources extraction is not above the rate of regeneration of the resources and wastes generated are within the assimilating capacity of the environment.
3. Poverty Line: Poverty line is the cut off point which divides the population of the country as poor and the non-poor. It can be determined in terms of calorie intake and monthly per capita expenditure (MPCE). According to this a minimum intake of 2400 calories per person per day in rural areas and 2100 calories person per day in urban areas is needed.

The current environmental crisis is result of our unsustainable practices. The population explosion and affluent consumption have placed an undue and excess burden on the environment. The resources are increasingly exhausted day by day, but the regeneration of resources is constant. So, when the resources are extracted at a rapid pace than its regeneration, then the carrying capacity of the environment reduces. Then environment fails to perform its function of sustaining life, consequently, resulting in an environmental crisis. The current environmental crises includes land degradation, global warming, biodiversity loss, waste management etc.

Both thermal and hydroelectric sources of energy have adverse environmental impacts. Thermal power plants emit large quantities of carbon dioxide which is a greenhouse gas. It also produces fly ash which causes pollution of land, water and other components of the environment.
Hydroelectric power projects inundate forests and restrict the natural flow of water in catchment areas and the river basins.
Thus, both need to be replaced with safer options.

Functions of environment are:

1. Suppliers of resources: Environment supplies us with all the resources – both renewable and non-renewable resources. Renewable resources are those which can regenerate themselves and do not get exhausted. This means that there is a continuous supply for production activities in the economy.
2. Sustainer of life: Environment acts as a sustainer of life by providing genetic and bio diversity. It provides conditions for living organisms which are necessary for them to survive.
3. Provider of aesthetic beauty: Environment provides us aesthetic beauty like scenery, beautiful views, etc. Due to generosity of environment only we get see surreal views of mountains, oceans, beaches, forest, etc.
4. Assimilates waste: The disposable waste generated by human activities gets assimilated in the environment.

Sustainable development is that process of economic development which aims at maintaining the quality of life of both present and future generations without harming natural resources and environment.
The main features of sustainable development are as under:

1. Sustained rise in real per capita income and economic welfare. There should be a sustained rise in real per capita income and economic welfare over the time.
2. Rational use of natural resources. Sustainable development does not mean that natural resources should not be used at all. It simply means that the natural resources should be rationally used in a manner such that they will not be excessively exploited.
3. No reduction in the ability of future generations to meet their own needs. Sustainable development aims at making use of natural resources for raising the existing standard of living in such a way as not to reduce ability of the future generations to meet their own needs.
4. No increase in pollution. Sustainable development discards those activities which may increase pollution and decrease quality of life of future generation.
5. It can be measured in terms of increased income, real income, educational services, health care, sanitation, water supply, etc. through the measures of Net Green National Income and increase in Genuine Savings.

Four pressing environment concerns of India are:

1. Land degradation.
2. Biodiversity loss.
3. Air population with special reference to vehicular pollution in urban cities.
4. Management of fresh water and solid waste management.

Correction for environmental damages involves opportunity costs as explained below:

1. The industrial development in past has polluted and dried up rivers and other aquifers making water an economic good. Cleaning up of polluted rivers and replenishing water resources require huge investments.
2. The intensive and extensive extraction of both renewable and non-renewable resources has exhausted some of these vital resources and huge amount of funds need to be spent on technology and research to explore new resources.
3. The health costs of degraded environmental quality are also present as decline in air and water quality have resulted in increased incidence of respiratory and water-borne diseases.
4. Global environmental issues such as global warming and ozone depletion also contribute to increased financial commitments for the government.

The long-term results of global warming are:

1. Melting of polar ice caps leading to a rise in the sea level and coastal flooding.
2. Disruption of drinking water supplies dependent on snow melts.
3. Extinction of species.
4. Frequent tropical storms and tropical diseases.

1. The Central Pollution Control Board (CPCB) was set up by the government in 1974, to address two major environmental concerns in India water and air pollution.
2. This was followed by the establishment of the state level boards to address the environmental concerns at the state level.
3. These boards provide technical assistance to the respective governments in promoting cleanliness of streams and wells by prevention, control and reduction of water pollution, and also to improve the quality of air and prevent air pollution in the country.
4. They carry out and sponsor investigation and research about problems of water and air pollution.
5. Mass awareness programmes are also organised by them with the help of media.
6. These boards collect, collect and disseminate technical and statistical data w.r.t water pollution.

The people have tried to prevent indiscriminate cutting of trees through a silent revolution. Chipko and Appiko are two such movements.
The seeds of Chipko popularly known as the 'tree huggers' were sown in the early 1980s in northern India and the forests of the Himalayas.
The villagers hugged the trees, saving them by interposing their bodies between them and the contractors' axes. In India, the Chipko movement which has been active since 1973 is one of the most successful examples of people-orientated environmental restoration in parts of the Himalayan region. The main aim of this movement, in which women play a key role, is tree protection and plantation. Like the Chipko movement, the Appiko movement was launched to save the tropical forests of the Western Ghats. This simple non-violent action became popular and people have joined this movement spontaneously.

Carrying capacity of the environment may be defined as the amount of natural resources which can be drawn from it and the maximum amount of pollutants that can be discharged without damaging it seriously.
For example, crude petroleum, the source of petrol and diesel used in motor vehicles is available in limited supply. It cannot be reproduced again. The present rate of use of these resources, will lead to the depletion of these resource within less than half a century.
Similarly, air pollution has created a problem of ozone depletion. Air pollution has developed a hole exposing human life to the dangerous ultraviolet rays of Sun. Hence, industrial development must be in accordance with the carrying capacity of environment.

The priority issues related to environment that concern India today are:

1. Land degradation.
2. Bio-diversity loss.
3. Air pollution with special reference to vehicular pollution in urban cities.
4. Management of fresh water and solid waste.

1. Wind Power: Wind is a clean fuel; wind power produces no air or water pollution because no fuel is burned to generate electricity, unlike fossil fuel power sources. Wind power generation produces zero carbon dioxide emissions, which is important with our concern over climate change. Wind energy is also a renewable source of energy, i.e., it does not deplete our natural resources like coal or petroleum based products.
2. Biopest Control: Biopest control is a natural way of controlling pests that harm plants and crops. It could reduce the use of many pesticides and eliminate the overuse of chemicals. Biopest control is long lasting and inexpensive. Biodiversity would increase too. (This is because of the reduction of chemical applications that often do affect not only the single species they are intended to kill, but other species as well).

The world today stands at a threshold of serious environmental crisis. The rising population of the developing countries and the affluent consumption and production standards of the developed nations have put a huge stress on the environment in terms of its functions of supplying resources and assimilating wastes. Many resources are becoming extinct since their use is beyond the carrying capacity of the environment, leading to an environmental crisis.
In earlier times, the demand for environmental resources and services was much less than their supply. Recently increased demand for goods and services has led to advanced industrialisation. This has caused pollution which is more than the absorptive capacity of the environment. The rate at which the resources are extracted by man has been more than the rate of regeneration of the resources, causing serious environmental problems. The demand for resources for both production and consumption has gone beyond the rate of regeneration of the resources increasing the pressure on the absorptive capacity of the environment.