Archive for ‘Environment’

September 22, 2012

Externality [ek-ster-nal-i-tee] [noun]: “We don’t give a shit.”

An alert reader of yesterday’s post regarding David Suzuki’s ongoing confusion over the concept of an “externality” pointed me to an interview with Professor Suzuki in a magazine called Common Ground. Suzuki helpfully clarifies precisely what he thinks “externality” means, so we no longer have to infer from context:

I won’t go into a long critique, but currently nature and nature’s services – cleansing, filtering water, creating the atmosphere, taking carbon out of the air, putting oxygen back in, preventing erosion, pollinating flowering plants – perform dozens of services nature to keep the planet happening. But economists call this an ‘externality.’ What that means is “We don’t give a shit.” It’s not economic. Because they’re so impressed with humans, human productivity and human creativity at the heart of this economic system. Well, you can’t have an economy if you don’t have nature and nature’s services, but economics ignores that. And that’s an unbelievably egregious error.

(emphasis added). I agree someone’s made an “unbelievably egregious error,” and repeated it countless times to countless people.

David Suzuki owes the community of economists, and his audiences, an apology and an unequivocal retraction.

September 21, 2012

David Suzuki still hasn’t figured out what an “externality” is

A reader of this (seemingly defunct, but stay tuned) blog sent me a link to a portion of a movie called Surviving Progress in which Dr. Suzuki gives an even more offensive, ridiculous, and staggeringly ignorant take on economics than those previously discussed on this blog. For the amusement of fellow economists, here’s the video, complete with helpful visuals of a guy in a suit—possibly modeled on Ben Stein’s character in Ferris Bueller—standing in front of a chalkboard with some dull looking stuff that’s not even recognizable as economics. Dr. Suzuki recites his oft-repeated claim that “economics is a form of brain damage” and here adds the allegation that economists “know damn well” that we deliberately deceive people into thinking economics is a science when in fact all we want to do is torch the planet for sweet, sweet cash.

For those interested in what economists actually think about the environment, and what an “externality” actually is, see for example “How do economists really think about the environment?” Or open any Economics 101 textbook.

September 29, 2011

A review of Economyths: Ten Ways Economics Gets it Wrong, by David Orrell

David Orrell, a mathematician who works on biological problems, recently published a book called Economyths: Ten Ways Economics Gets It Wrong. Economyths is a terrible, willfully ignorant, deeply anti-intellectual book. The characterization of economic thought presented is ridiculous. The level of scholarship is abysmal.

read more »

August 22, 2011

Regarding David Suzuki’s inability to understand “externality”

How can it be that David Suzuki can so consistently and for so long get this straightforward concept so spectacularly wrong?

read more »