Assignment: Economic Incentives strategies versus Command and Control strategies

Question

Assignment:

Economic Incentives strategies versus Command and Control strategies

EPI or Environmental Policy Integration is used as a key policy element in monitoring a political authority’s transition to sustainability. It aims to turn the policy status quo so that environmental protection involves a more HOLISTIC and PROACTIVE approach. Jordan and Lenschow suggest the change in policy approach would be innovative because it attempts to revise the traditional hierarchy of policy objectives where economic concerns were a higher priority than environmental or sustainable goals. Environmental and sustainable goals remained minor concerns when evaluating economic growth policies.

Therefore, as a business leader, sustainable policy consultant, or government administrator it is important to infuse or integrate sustainability principles into other types of government policies, such as housing development, attracting businesses to local places or protecting tourism destinations from ecological destruction while maintaining reveneus.

Part 1

Identify which of the following five government sustainable policies is an EI (economic incentive policy type versus a CAC (Command and Control) policy type. Identify the policy type and explain your reasoning in a couple sentences.

a) Phillipine government officials planned to balance the cutting down of trees with the protection of the Makiling Forest reserve and ecotourism. The sustainable policy implementation strategy chosen was a conservation fee. The increasing amount of trees cut down and people moving into the Forest Reserve dramatically resulted in the slow destruction of the whole area lowering water abundance and quality. Existing farmers had to pay the conservation fee in exchange for ownership of property in the Forest Reserve. Part of the conditions of using the property is that you must follow the government’s regulations. Pricing of the fee and credits to farmers was adjusted based on the farmers productivity.

Command and Control or Economic Incentive?

Explain your reasoning________________________________________________

b) The automotive industry in India seeks to reduce vehicular emissions from cars. The government’s strategy included an environmental excise tax to encourage production of cleaner cars. The amount of duty to pay would vary with emissions levels. The excise tax or duty would thus recover from vehicle manufacturers the cost imposed by their product on the environment.

Command and Control or Economic Incentive?

Explain your reasoning________________________________________________

c) An “Eco-label” is provided to a tourism company either hotel, tour operator, or restaurant that satisfies certain environmental criteria set by the government or private association. Because of the major growh in the number of Eco-labels over the last 15 years, many of them are not known to the wider public and tourists can be confused. To be meaningful, an eco-label must be internationally recognized and administrated by a reputable organization. The “Blue Flag” is probably the best know international Eco-label in tourism which has been awarded to beaches and marinas in 36 countries worldwide.

Command and Control or Economic Incentive?

Explain your reasoning________________________________________________

d) The Rhode Island government requires all Higher Education Campus Foodservice Operations to develop sustainability goals and initiatives in each of the four categories of sustainable foodservice practices. Each campus foodservice operation must procure 20% sustainable food products each year, while maintaining accessibility and affordability for all students. Each campus shall provide patrons with access to educational materials that will help support their food choices. Each campus foodservice department shall engage in activities with their surrounding communities that support common goals regarding sustainable food systems.

Command and Control or Economic Incentive?

Explain your reasoning________________________________________________

e) The government creates a law and regulation that requires Pepsico to label all of their products with genetically-modified food products. Government approval of genetically-modified foods differs from country to country regarding both use and labeling. Regional markets and government authorities can have distinct regulations that are hard for one company to adjust as part of their operations. Therefore, as of now the science is not clear regarding the human health consumption of biogenetically altered food. The potential ecological impact is more clear.

Command and Control or Economic Incentive?

Explain your reasoning________________________________________________

Part 2 Answer the following questions comparing EI to CAC strategies.

1) Efficiency is an important measure to evaluate the impact of a sustainable policy. Which type policy, EI or CAC is more efficient? That is, which one costs less to implement?

2) Which type of policy has higher administrative costs, EI or CAC?

3) Which type of policy instrument achieves their objectives quicker, EI or CAC?

4) Which type of policy instrument would private enterprises likely oppose and support if the governing authority instituted EI and CAC sustainable policy strategies?

Explanation / Answer

Answer:Part:1

A- Comand and control, because government were keen about protection of trees also.

B- Comand and control, because excise duty is applicable for those who emits more toxic effluents.

C- Comand and control, because eco label is given to aware the peoples world wide againt environment laws.

D- Economic incentives, because it only uses 20% of food for their sustainable goods.

E- Economic incentives, because there is no clearance regarding biological modified foods.

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