Are there economic reasons to conserve our resources?



  1. 0 Votes

    Of course. The less energy we consume and the more energy we produce through renewable resources the less foreign energy resources we must import. In general in economics you are in a better position as a net exporter then as a net importer. Not mention that investment in building up a renewable resource base will help stimulate the economy by creating new jobs.

  2. 0 Votes

    Thats true on a macro level vaga. In addition, on a micro level, the more resources we conserve the less money we spend which gives us more disposible income (which would be shown as an outward shift in the consumers indifference curve in microeconomics).

  3. 0 Votes

    Also, given the finite nature of the natural resources we rely upon (particularly oil), conservation will help extend the lifespan of the supply.  As supply decreases and demand remains constant (or increases due to population growth, developing technologies, etc.), the price for the commodity (in this case, a fossil fuel) will grow exponentially high.  As the prices exceeds the maximum perceived value, demand falls.  Without a sustainable alternative in place, we will virtually have no way to power our cities, drive cars, etc.  This would obviously crush the global market, as consumption (demand) feeds profits.  Without demand, there is no market, and the economy collapses. 

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