EftichiosSartzetakis
The Economic Dimension of Sustainable Lifestyles
Presented at the conference
The Dimensions of Sustainable Lifestyles
Οκτώβριος 2004
University of
Macedonia
2Ε. Sartzetakis The Economic Dimension of Sustainable Lifestyles
Sustainable Development
“Sustainability requires alleviation of poverty, a decline in
fertility, the substitution of human capital for natural
resources, effective demand for environmental quality and
a responsive supply.”
T. Panayotou, Green Markets: The economics of
Sustainable Development, Institute for
Contemporary Studies, 1993
“The range of products and processes that now exist –and
the environmentally unfriendly approaches to production
and consumption that underpin them-are the result of
companies’ choices over product and process innovations
made during the past 20, 50 and in some cases 100
years.”
K. Green, A. McKeekin and A. Irwin,
“Technological Trajectories and R&D for
Environmental Innovations.”, Futures, Vol
26:1036-52.
3Ε. Sartzetakis The Economic Dimension of Sustainable Lifestyles
Sustainable Lifestyles
Agenda 21, 1992
“The major cause of the continued deterioration of the
global environment is the unsustainable pattern of
consumption and production, particularly in industrialised
countries, aggravating poverty and imbalances”
Our Common Future, 1987
"Sustainable development requires the promotion of values
that encourages consumption within the bounds of the
ecologically possible and to which all could reasonably
aspire“
Only One Earth, 1972
"But suppose 7 billion try to live like Europeans or
Japanese. There is no way such equations can be worked
out. But what 'gives' on the collision course ? Numbers?
Yes -but whose ? Consumption -Yes ? but where ? Or
does the planet itself come under an increasing and
irreversible pressure ?"
4Ε. Sartzetakis The Economic Dimension of Sustainable Lifestyles
The issues in developing countries
The case of a cotton farmer in Africa
He is competing with 250,000 farmers in the US
that receive more than $4 billionsin subsidies, a
sum greater than the value of their production.
Given the subsidies both in Europe and the USA,
the world cotton price does not cover
the cost of production even in Africa….
Our farmer has to relocate to find a job.
5Ε. Sartzetakis The Economic Dimension of Sustainable Lifestyles
Let assume that he turns to milk production
In this market he competes with the
European producers that receive an
enormous amount of subsidies, which –as in
the previous case–are allowed under the
existing GATTagreements
As a result, most of the developing
countries consume milk powder
imported from Europe, and they do
not produce any fresh milk
Euro-cow
€2 / day
The issues in developing countries
6Ε. Sartzetakis The Economic Dimension of Sustainable Lifestyles
Lifestyles in developed countries
Overconsumption of energy:
In an urban environment, 82
out of a hundred journeys
are by car, 12 by public
transport, 6 by bicycle.
Overconsumption of food
Expenditure on basic health
nutrition in developing
countries was $13 billion,
while the expenditure on pet
food in Europe and USA $17
billion (According to the
Human Development Report
1998, UNDP)
7Ε. Sartzetakis The Economic Dimension of Sustainable Lifestyles
Creating Sustainable Lifestyles
The root cause of all our environmental problems (and
probably many of our social problems too) is
overconsumption and population increase
Adopt children
Carpool with family, neighbors and friends
Cut down on meat as a protein source.
Don't use antibiotics unless you absolutely must.
Limit the amount of goods you buy. Do you really need
twelve sweaters, twenty-three dresses, nine pairs of jeans
and six pairs of boots?
Educate your friends and family without pointing fingers or
being obnoxious or judgmental.
8Ε. Sartzetakis The Economic Dimension of Sustainable Lifestyles
Creating Sustainable Lifestyles
Don't let your car leak oil on the street or driveway. The oil
washes into the oceans and rivers when it rains and harms
aquatic life.
Reducefast foodintake. The meat is contaminated with
hormones, antibiotics and agony.
Eat cage-free eggs. No animal should live like a machine to
make your omelette.
Buy meat that was raised on a free range and without
antibiotics or hormones.
The average person uses about 300 pounds of paper per year
which corresponds to five trees! Many people use more.
To balance your industrial responsibility for CO2 output, you
need to plant forty-five trees over your lifetime.
Try to choose foods that are seasonal to your area rather
than imported long distances.
9Ε. Sartzetakis The Economic Dimension of Sustainable Lifestyles
Creating Sustainable Lifestyles
Use cloth napkins instead of paper ones.
Use rags instead of paper towels.
Bring your own bags with you to the stores.
Just say No! to that extra bag.
Recycle paper, glass, plastic, single-use batteries…
Start a compost pile with your kitchen scraps in your yard or
garden instead of landfilling.
Use natural composts and fertilizers instead of commercial
chemicals to nurture your garden.
Carry your own mug instead of using Styrofoam.
Don't water plants during the day because water evaporates
more then.
Replace toxic cleaning chemicals with baking soda and
vinegar
10Ε. Sartzetakis The Economic Dimension of Sustainable Lifestyles
Creating Sustainable Lifestyles
Finally,
Don't give up.
Every little bit counts.
Never feel as though you
don't count. You do!
11Ε. Sartzetakis The Economic Dimension of Sustainable Lifestyles
How to achieve these goals
Cooperationbetweenall
players
12Ε. Sartzetakis The Economic Dimension of Sustainable Lifestyles
Government intervention
Government intervention
Liability rules
Taxes, tradable permits, direct intervention
Corporate responsibility
Voluntary agreements
Ecolabelling
Subsidization of “green” technologies
13Ε. Sartzetakis The Economic Dimension of Sustainable Lifestyles
Government Revenues
Direct taxation
(distortionary)
Indirect taxes
(distortionary and
Corrective)
Restructuring of the tax system
14Ε. Sartzetakis The Economic Dimension of Sustainable Lifestyles
Government Revenues
Direct taxation
(distortionary)
Indirect taxes
(distortionary and
Corrective)
Green taxes
(corrective)
Restructuring of the tax system
15Ε. Sartzetakis The Economic Dimension of Sustainable Lifestyles
Government Revenues
Direct taxation
(distortionary)
Indirect taxes
(distortionary and
Corrective)
Green taxes
(corrective)
Restructuring of the tax system