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SEMESTER FALL 2019
BUSINESS ETHICS (MGT610)
ASSIGNMENT NO. 01
DUE DATE: JAN 24, 2020 MARKS: 10
The substance of the internalization of environmental costs is to resolve the external effect in the economic of environment as resources having public goods characteristics. Externality refers to the effect of the producers’ production behavior (or consumers’ consuming behavior) on the welfare of a third party. It is an additional effect of non-market that an economic force does on another, including the positive externality and negative externality. If this resource is scarce, meaning that different subjects are incompatible with each other, then the negative externality will inevitably occur. The environment is just a typical kind of scarce resource, and certain economic entities in the use of the environment will affect the use of other economic entities on the environment. Therefore, environment pollution in the use of environment has the typical negative externality. So the internalization of environmental costs helps to improve the level of welfare effect of the whole society. Thus the internalization of environmental external costs is necessary.
Discuss the ways which are helpful to internalize the environmental costs to reduce environmental pollution.
A 24 hours extra/grace period after the due date is usually available to overcome uploading difficulties which may be faced by the students on last date. This extra time should only be used to meet the emergencies; and above mentioned due date should always be treated as final to avoid any inconvenience. To open the assignment file, you must have Adobe Acrobat Reader/ PDF Reader installed on your computer. For acquiring the relevant knowledge, watch the course video lectures and read additional material available online in the form of related articles and case studies or in any other mode.
Long, G., Lei, W., Sijie, C., & Bo, W. (2012). Research on Internalization of environmental
costs of Economics. IERI Procedia, 2, 460-466.
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