Why It Is Important to Reduce Emissions Caused by Carbon Dioxide and Other Greenhouse Gases and Avoid the Costs Originated by Them in the Near Future
The issue of Global climate change is one of the utmost economic, social, and environmental challenges of this century. Analysis shows that greenhouse gas emissions are responsible for changes in the pattern of climate around the Globe. “Global pollution creates a “public bad” born by all – a negative externality with a wide impact” (M.Harris, 2002).
Australia is considered to be the driest populated continent in the world and faces stern drought and water shortages. Reducing carbon emissions is challenging for Australia, although the Government realizes that meeting this challenge is important and commits to reducing the level of pollution caused by greenhouse gases in Australia, and voluntarily preparing for an altered climate in the near future.
The Hon. Greg Combet (Assistant Minister for Climate Change and Energy Efficiency) stated in his speech that, “Australia is already the driest inhabited continent on earth, and is heavily exposed to the impacts of climate change and faces huge environmental and economic costs from climate change impacts including on water security, agriculture, energy supply, health, coastal communities and infrastructure” (The Hon. Greg Combet AM, 2010).
1. M.Harris: Analysis on Environmental Effects
The discount rate is used as a measure to determine future costs and benefits from climate change. However, according to M.Harris, there is uncertainty when using this method. He states that other methods that include ecological as well as economic costs and benefits should be chosen. M.Harris examined two studies, one by William Nordhaus and other by Cline. William Nordhaus said that the most favorable policy would be a minute reduction in greenhouse gas emission lower than recent estimations. Whereas, Cline focused on long-term effects and used a low discount rate of 1.5% to level present and future cost. From these studies, M.Harris concluded, “Even though costs of aggressive action appeared higher than benefits for several
Australia is considered to be the driest populated continent in the world and faces stern drought and water shortages. Reducing carbon emissions is challenging for Australia, although the Government realizes that meeting this challenge is important and commits to reducing the level of pollution caused by greenhouse gases in Australia, and voluntarily preparing for an altered climate in the near future.
The Hon. Greg Combet (Assistant Minister for Climate Change and Energy Efficiency) stated in his speech that, “Australia is already the driest inhabited continent on earth, and is heavily exposed to the impacts of climate change and faces huge environmental and economic costs from climate change impacts including on water security, agriculture, energy supply, health, coastal communities and infrastructure” (The Hon. Greg Combet AM, 2010).
1. M.Harris: Analysis on Environmental Effects
The discount rate is used as a measure to determine future costs and benefits from climate change. However, according to M.Harris, there is uncertainty when using this method. He states that other methods that include ecological as well as economic costs and benefits should be chosen. M.Harris examined two studies, one by William Nordhaus and other by Cline. William Nordhaus said that the most favorable policy would be a minute reduction in greenhouse gas emission lower than recent estimations. Whereas, Cline focused on long-term effects and used a low discount rate of 1.5% to level present and future cost. From these studies, M.Harris concluded, “Even though costs of aggressive action appeared higher than benefits for several
References: Alexander Gillespie, W. C. (2000). Climate change in the South Pacific: impacts and responses in Australia, New Zealand, and small island states. Dordrecht, Netherlands: Kluwer Academic . Brian Dawson, M. S. (2009). The complete guide to climate change. New York: Routledge. Chopra, K. R. (2005). Ecosystems and human well-being: policy responses : findings of the Responses Working Group of the Millennium Ecosystem Assessment . NW, Washington, DC: Island press. M.Harris, J. (2002). The Economics of Global Climate Change. Environmental and Natural Resource Economics: A Contemporary Approach , 1-12. The Hon. Greg Combet AM, M. (2010, February 2). Climate Change. Retrieved September 10, 2010, from http://climatechange.com.au: http://www.climatechange.gov.au/minister/combet/2010/speeches/February/sp20100203.aspx Toman, M