Economic growth and sustainability
| English | Chinese | Pinyin |
|---|---|---|
| sustainable | 可持续的 | kě chí xù de |
| inflation | 通货膨胀 | tōng huò péng zhàng |
| inequality | 不平等 | bù píng děng |
| depletion | 枯竭 | kū jié |
| sustainable development | 可持续发展 | kě chí xù fā zhǎn |
| renewables | 可再生能源 | kě zài shēng néng yuán |
Growth that lasts
- Growth raises living standards — but burning through forests, fish stocks and clean air to get it stores up trouble.
- Sustainable 可持续的 growth means rising output today without wrecking the prospects of tomorrow.
Economics case lab
Classify real examples by the economic idea they show.
Which is a benefit of economic growth?
Growth raises incomes, employment and tax revenue for public services.
The benefits of growth
- Higher incomes and living standards, more jobs, better public services (tax revenue rises), and reduced poverty.
Growth is the rising trend; but each boom and bust, and its environmental cost, must be managed.
A potential cost of rapid economic growth is:
Growth can deplete resources and damage the environment, among other costs.
The costs
- Inflation 通货膨胀 risk if demand outpaces supply, worsening inequality 不平等, resource depletion 枯竭, and environmental damage (pollution, climate change).
Investment in new buildings and capital is a key driver of economic growth
Sustainable development meets present needs without compromising those of future generations.
That is the standard (Brundtland) definition of sustainable development.
Which policy supports sustainable growth?
Pricing the externality (carbon tax) steers the economy toward sustainability.
Sustainable growth aims to protect the prospects of ______ generations.
Growth today should not compromise tomorrow.
Sustainability
- Sustainable development 可持续发展: meeting present needs without compromising future generations' ability to meet theirs.
- Policies: pricing externalities (carbon taxes), investing in renewables 可再生能源, and protecting natural capital.
GDP growth ≠ rising wellbeing. Fast growth can deplete the environment and widen inequality, so the gain in measured GDP overstates the gain in actual welfare.
You've got it
- growth brings higher incomes, jobs, public services — but risks inflation, inequality, environmental damage
- sustainable development meets today's needs without harming future generations
- policies: price externalities, invest in renewables, protect natural capital