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Pollution and the effects on our economy and ways to make it better - Research Paper Example

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Economists and environmentalists come to an agreement that greater economic activities usually leads to increased industrial pollution both in the developed and the developing countries. This paper discusses the various forms of pollution and its impacts to the economy as well…
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Pollution and the effects on our economy and ways to make it better
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Pollution and the effects on our economy and ways to make it better

Download file to see previous pages... In most cases, most of these negative implications hit more on the environment since most economic activities will involve the production in waste emitting industries. However, not all pollution may have some positive side as well. As it will be noted in the discussion, in some high levels of pollution, governments may be forced to create awareness on the issue and by so doing; employment will be created as human capital is needed to carry out the awareness campaigns. In this paper, discussion is made on how pollution impacts on various economic aspects, which are; Gross Private Domestic Investment, government spending, net export, employment rates and inflation rates.
Pollution is a real crisis, with a lot of negative impacts on the environment, which goes on to stall economies locally, nationally and globally. Various economic activities result to pollution. In each of its diverse forms, it is linked to some particular consumption or production process. For instance, the amount of carbon monoxide released in the air has a definite relationship to the amount of fuel burned by diverse automotive engines; the discharge of polluted water into the streams and lakes can be directly linked to the level of output of the paper, steel, textile as well as all the other water-using industries and its amount is dependent on the technological facet of the particular industry. Description and explanation of the level of output of each sector of a given national economy as per its relationships to the corresponding levels of activities in all the other sectors is well done using input-output analysis (Clapp & Dauvergne 89).
Undesirable by-products are linked directly to the network of physical relationships governing the daily operations of the economic system. The technical interdependence between the levels of desirable and undesirable outputs can best be described in terms of the structural coefficients similar to the ones used in ...Download file to see next pagesRead More
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