The True Cost of Fossil Fuels

Posted: October 18, 2010 in economy, environment
Tags: , , , ,

The Christian Science Monitor (CSM) is possibly my favorite newspaper, they have a really in-depth news section that actually has news stories and a great spread of both domestic and international news.  Also they don’t seem to be particularly wed to either a conservative or liberal bias and often when there is something going on in the world I will turn to the CSM to get their take on it, along with the New York Times the CSM is the only other paper I read regularly or trust as a news source.  Even more so for anything having to do with the environment and the link below is a fantastic example.  The article focuses on what Economists refer to as internalizing externalities, fancy terms for actually accounting for the true cost of something.  In other words, it may cost a manufacturer $10 to make a product, however that cost does not consider the environmental impact of the production process, so if that pollution takes $2 to clean up then the true cost of the product should be $12 not $10, but in our society that $2 cleanup cost gets dumped on all of us.  Check it out, it’s a good read:

http://www.csmonitor.com/Innovation/Energy/2009/1119/the-hidden-costs-of-fossil-fuels-and-biofuels-too

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s