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Economic Approaches to Energy, Environment and Sustainability 289 pollution and other wastes (according to the EKC hypothesis) will improve intra-generational equity, as the poorest in society generally exhibit the highest exposure to ‘bads’ and the least access to ‘goods’. At the same time intergenerational equity may be ensured through the maintenance of the total capital stock over time (following the ‘weak sustainability’ paradigm) (Venkatachalam, 2007). In contrast, many ecological economists view distributional injustice as a driver of environmental deterioration, so that intra-generational equity, as a precondition, makes an important contribution to intergenerational equity (Illge and Schwarze, 2009), in that the transfer of resources to future generations is influenced by the endowment of property rights, income distribution and the preferences of the preceding generations (Venkatachalam, 2007). In this view, the value of social discount rates is also clearly of significant importance for intergenerational equity. Questions of environmental justice have been largely peripheral to debates surrounding valuation of natural capital and ecosystem services, discussed above, and subsequent policy instrument design and implementation (Matulis, 2014). However, they are becoming increasingly salient (McDermott et al., 2013). In particular, there are disagreements and uncertainties surrounding whether instruments utilizing monetary valuation reduce or exacerbate preexisting economic and social inequalities – particularly at a local level (a question of policy impact) (Matulis, 2014, Cobera, 2015). This is linked to a currently poor understanding of the dynamic interaction between distributional justice and procedural justice, and ‘contextual’ justice, which considers preexisting conditions (including culture, beliefs, practices and institutions) that limit or facilitate access to decision-making and environmental exposure and access, and therefore receipt of benefits or costs of policy intervention. This is now a key area for future research (McDermott et al., 2013, Cobera, 2015), that may be linked to priority research subjects highlighted in previous sections, surrounding natural capital and ecosystem service valuation methodologies and consequences, and consideration of behavioural and institutional economics. Further understanding of this interaction may allow for the advancement of a sound conceptual basis upon which to further develop and monitor robust indicators of environmental justice in practice, which has proven a continual difficultly thus far, despite several efforts (McDermott et al., 2013). The further development of such indicators aligns to broader efforts for indicators of sustainable development. 7.3.3 Measurement and Indicators of Sustainable Development and Sustainability Since the UN Conference on Environment and Development in 1992, which established the idea of sustainable development as an overarching policy objective, there has been an explosion of activity to develop sustainable development
290 Paul Ekins, Paul Drummond, and Jim Watson indicators (SDIs) in order to determine whether sustainable development is actually being achieved. Because the meaning of sustainable development was (and is still) not particularly clear (as discussed in Section 7.3.1), this activity was characterized by much experimentation. Many indicator sets were put forward by different bodies at different levels (international, national, regional, local), and substantial efforts have since been invested in seeking to rationalize these into ‘core’ sets that can be used for comparison and benchmarking, while the development of particular sets of indicators for specific purposes has continued to flourish. There are two main approaches to constructing indicators of sustainable development. The first is the ‘framework’ approach, which sets out a range of indicators intended to cover the main issues and concerns related to sustainable development. In 1996 the UNCSD published its first set of SDIs, comprising 134 economic, social, and environmental indicators (UN, 1996). The indicators were structured in a matrix that related Driving Force, State, and Response indicators to the chapters in Agenda 21. Because not all the indicators were relevant for the European Union, EUROSTAT carried out a study using a subset of 36 of these indicators, publishing the results of the study in 1997 (EUROSTAT, 1997). UNCSD subsequently produced a ‘core’ set of 59 SDIs based on its original set, and EUROSTAT (2001) produced another study involving 63 indicators, which related closely to the UNCSD core set and showed the very wide range of issues that sustainable development is considered to cover. There are many other frameworks of SDIs. Internationally, one of the best known is that published by the Organisation for Economic Co-operation and Development (OECD) in 2000. This contained a set of ‘possible core sustainable development indicators’, a number of country case studies on different aspects of sustainable development indicators, and indicators for the major environmentally significant sectors. It also contained a new set of social indicators, with context indicators and structured according to the themes of promoting autonomy (or self-sufficiency), equity, healthy living (or just health), and social cohesion. Within the themes the indicators were grouped according to social status and societal response (OECD, 2000). The most recent and, arguably, most influential, framework of sustainable development indicators to be constructed is the Sustainable Development Goals (SDGs), 1 which were agreed by the United Nations in September 2015. There are 17 broad goals, spanning the economic, social and environmental dimensions of sustainable development, and underpinned by more than 100 indicators. A limitation of the framework approach to indicators is that unless all the indicators are moving in the same direction (i.e., all making development more, or less, sustainable), it is not possible to say whether, in total, the objective of sustainable development is being advanced. This limitation is addressed
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Economics without Borders If treate
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University Printing House, Cambridg
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vi Contents 1.4.3 Reforming the Sta
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viii Contents 5.3 Approaches in Ind
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x Contents 9.3 The Trade-Off betwee
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xii Contents 12.4.4 Inequality of O
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Figures 1.1 Entry effects near and
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Tables 2.1 Chronology of EPL reform
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xx Foreword Another important facto
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Contributors roberto barcellan Euro
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Contributors xxv vigdis kvalheim No
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Introduction Richard Blundell, Este
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Introduction 3 2. Knowledge-based g
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Introduction 5 for innovation or th
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Introduction 7 burden was the polic
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Introduction 9 however, quite clear
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Introduction 11 extremely useful fo
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Introduction 13 An overarching them
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Introduction 15 involved). Another
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Introduction 17 proportion of rail
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Introduction 19 ‘macroeconomics i
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Introduction 21 private equity mark
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Introduction 23 such changes bear c
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Introduction 25 outlined, to draw s
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Introduction 27 Chapter 14 starts b
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1 Innovation and Growth: The Schump
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Innovation and Growth: The Schumpet
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2 European Union Dual Labour Market
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European Union Dual Labour Markets
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3 Population, Migration, Ageing and
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Population, Migration, Ageing and H
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4 Education Systems: Assignment, Ad
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Education Systems: Assignment, Admi
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Competition and Regulation in Marke
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Page 266 and 267: Winners and Losers of Globalization
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Regional Disparities and Efficient
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Skilled Cities and Efficient Urban
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10 Fiscal and Monetary Policies aft
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Fiscal and Monetary Policies after
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Financial Regulation in Europe: Fou
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12 Inequality and Welfare: Is Europ
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Inequality and Welfare: Is Europe S
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Country mean score 1.5 1.2 0.9 0.6
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Big Data in Economics: Evolution or
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634 Index Diversified Cities, 385 D
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636 Index Native Population, 114, 1
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