Sustainability has no clear line of definition as it means a lot different things to different people. To some, it could be a way of living with regard to the extent they can bear. Others could define it as the production styles they use in their flow of business, or a business as a whole. It could imply the responses to policies especially in the question of to what extent the environment that should be consumed over time (Ana Markulev, 2013).
Sustainability entails the ability to do an activity continuously. In sustainable development, the current needs are met without affecting the ability of future generations meeting their own needs in the future. It ensures that the present generation lives while upholding and conforming to policies that protect the future generations. A sustainable development also seeks to ensure that the current generation is developing to attain future goals (Markulev, 2013).
Sustainable development encompasses the utilization, conversion, and enhancement of resources that exist in the environment in such a way that the total life of the present and future can be increased and at the same time maintains the ecological systems in which the life depends on (Ana Markulev, 2013).
This is in contrast to today’s development that is only centered on the present needs. These needs are mostly met without consideration, and particularly little if any, to the life of future generations. This poses a significant risk on the ability of future generations attaining sustainability. The implementation of sustainable development should focus on meeting the current needs, especially economic needs. This will increase the value of the environment as future generations will seamlessly meet their needs in the future. The generation of today has issues that it needs to address in order to limit their occurrence in future generations. Sustainable development should be able to increase the well being of people over time. Wellbeing is also defined broadly: from the ability of economic production to ensure addition in consumption of market goods and services to other market needs such as social needs (Markulev, 2013).
Standard Economics
Economic policies cut across many different disciplines. These disciplines include agriculture, mineral extractions, watercourse diversion, emission of greenhouse gases into the atmosphere, and the influence on commercial forests (Shah, 2012). All these are avenues where human beings interact with the natural environment, which encompasses all of those activities.
The rate at which the world is being urbanized, modernized and industrialized has resulted in serious environmental issues especially in the developing countries. Developing countries are eager to attain the standards of developed countries. If this eager spirit is not managed, it leads to the environmental issues. There has been a remarkable depletion of the resources, over the years that has resulted from the accelerated pace in transformation of the economic and social sectors (Shah, 2012).
Increased awareness about sustainable development and environmental conservation in some countries has increased demand for environmentally friendly goods. This is driving the increase in proportion of sustainable businesses as more businesses seek to meet consumer demands. However, it is notable that sustainable businesses form a fairly small proportion of the economy. Most businesses have no concern for the environment they operate in. Increased vigilance should improve the situation in many economies, especially in developed countries (Shah, 2012).
Some developing countries have recorded significant economic growth in the last few decades. This statistics have been celebrated with investors injecting more funds into these economies. However, missing from the data is the environmental impact. Developing countries compromise on environmental conservation with the bid to improve economic growth. This situation can be corrected by increased policy implementation concerning sustainable development (Shah, 2012).
The existence of weak environmental legislation in some countries has promoted environmental degradation. It encourages a high level of competition at the expense of the welfare of the society and the future generation. In the early stages of development, it is essential to ensure that a development project conforms to environmental policies. This will lead to an awareness of the significance of protecting the environment (Alam, 2012).
An economically sustainable business is one that guarantees stakeholders that at any given period, cash flow is sufficient to ensure liquidity. At the same time, business has a constant above average returns to the cash flow. This means that the business has to make a profit regardless of the effects that it may have on the welfare of the society. What most economists fail to understand is that by not attending to the issue of society’s welfare, they risk making many losses in the future. However since they focus on the short term needs being met, they end up engaging in unsustainable practices that later jeopardize their operations in the future. A socially sustainable business or company is one that adds value to the society within which it operates, increasing the human capital individualism, and the society in general by advancing the societal capital of the communities that make up that society (Dyllick & Hockerts, 2002, p.130).
Sustainability in businesses comes with a price of adopting sustainable practices that give the businesses an edge in terms of competitiveness, a boost in the value of shareholders and an increase in market share. According to the international institute of sustainable development, various strategies and tools may expedite the process of sustainability into real feasible causes of actions. Cleaner production incorporated into business systems will enhance sustainability, at the same time protect, and conserve the environment. This involves measures like prevention of pollution at the source, (if necessary) as opposed to the end point of release, re-use of waste products and substitution of hazardous products and modifications in the processes that involve these hazardous products (Dyllick & Hockerts, 2002).
Integration of short term and long term aspects- In the recent past, businesses and firms have always been driven by the forces of the market (stock) and have put efforts to account for success or development on a quarterly basis rather than looking at the long term success of the business. This practice is contrary to the spirit of sustainable development. The businesses should ensure that their short-term goals lead them to an ultimate long-term goal. Policy development must embrace from the beginning a broader participation of the poor in their own development agendas. Hence ensure equal distribution of natural resources that will go towards concerted efforts of effectively managing natural resources and promoting the path of sustainable development. A need for a single comprehensive framework whose actions contributes towards sustainable management of the services that nature provides is hence, an input for eventual sustainable growth.
The following principles form a basis of the impact of human activities on the environment. These include:
- Technological progress rate in terms of production and distribution
- Population growth rate
- Economic growth
Despite the knowledge of the above determinants, the policies implemented have not been able to address them and their linkages (UNFPA, Population Mattes for Sustainable Development, 2011).
Technological progress and sustainable development
Technological advances have been experienced over the past few years and has been growing rapidly at an accelerating rate. It has helped a grand deal in the reduction of environmental degradation. In the past, people used to burn charcoal that led to air pollution, and wastage of very important resources (trees were cut down). On the contrary, today people can use electric or gas cookers to do their cooking at much cheaper prices (Project, 2003). Technological advancement has helped increase accuracy and efficiency in production activities. This has eliminated significant wastes usually associated with manufacturing. It is essential to note that technology has impacted both positive and negative impacts on society.
It has enabled Eco efficiency to be attained by delivering goods and services and a competitive price while bringing quality of life and continuously controlling the impact on the ecosystem to the earth’s carrying capacity level (Project, 2003).
Sustainable development is highly dependent on technology (Gassler, 2003).. Developing technology is a process that aims at achieving certain goals in the market. The increased call for sustainable development has forced technology companies to develop technology that reduces wastes and is environmentally friendly. Technology is also used in the production of sustainable and environmentally safe energy. This refers to technology such as wind mills and solar panels.
The negative impact of this technology is a technology driven unemployment (Nelson, 1982). In many cases, the instalment of technology often results in the redundancy of one or more workers. Policies that focus on the long term sustainability of businesses also seem to be associated to lower costs. For instance, while human beings require lighting in a warehouse to move around, automated androids do not need lighting. The androids do not require breaks in between shifts even though they are vulnerable to ware and tear. This saves on energy and time and improves efficiency. This threatens employment, especially for blue collar workers.
Sustainable technology affects all four domains of sustainable development. That is economics, culture, ecology and politics. The impact on each of these domains is essential to the discussion of sustainable development. The technology makes long term economic sense. However, the short term costs of this technology is significantly higher than the alternatives. For instance, in order to replace the energy produced from oil, a country would have to build solar plants on hundreds of acres of land (Alier, 2003). This is not feasible for most organizations. Technology has not reached a feasible level to justify the high costs.
Political implication of high unemployment due to sustainable technology is significant. Politicians will argue that technology should improve on human life not intrude or replace. Sustainable technology faces a large hurdle in politics. Culture is essential for the success of an idea. Sustainable development depends on people adopting new sustainable technology to their activities. The implication being that more jobs get lost as existing systems become redundant. For instance, modern mobile technology obliterated the once large market for pagers (Alier, 2003).
A question then arises; is it worth implementing sustainable development policies if they cause unemployment? There have been a growing trend on sustainable development in terms of creating green jobs, greening the already existing jobs and eliminating jobs that are termed to be unsustainable. These green jobs will be a huge extent in reducing the gap of unemployment especially among the youth and young professionals (Alier, 2003). The nexus between sustainable development, green economy, and green jobs are options that governments may explore for the benefit of its citizen and the environment in general.
There is a complex tradeoff between unemployment levels and sustainable development. China is one of the top emitters of greenhouse gases. China’s economic growth and development has been the phenomenon. Many view China’s development as unsustainable in the long run. Most manufacturing cities in China have high air pollution. That said, China has seen an increase in foreign investment with western countries producing their products in China, then shipping them to the US and Europe. If China decided to implement green policies, the unemployment rate would increase significantly (Ward, 2006).
China’s growth has been driven by cheap labor. Implementing sustainable technology in a phone assembly plant, for instance, would render thousands of Chinese workers unemployed. Many of the jobs in Chinese manufacturing can be replaced with an automated system similar to manufacturers in Europe and Japan. This is an example of technology driven unemployment. The dilemma being between sustainable technology versus unemployment. There would also be an increase in production costs due to costs associated with sustainable development. This presents a hurdle for advocates of sustainable development (Ward, 2006).
The government could take initiatives to expand the use of renewable resources and consequently increase employment opportunities in the energy sector. The US government under president Barack Obama has seen an increased focus on green jobs. The effect of China and other Asian countries on manufacturing in the US has forced the government to rethink employment in the US (Vatn, 2005).
Technological improvements have promoted outputs growth rate as well as employment. However, the effects on output become greater than in employment. The imbalanced impacts of technology on employment and outputs lead to a co-existence between high unemployment rates and high growth rates (China, 2013).
Sustainable development is a feasible idea. However, there is a need for a realistic look at how new technology impacts employment. Technologically driven unemployment seems to be the largest hurdle for sustainable development. Policy makers and green advocates have to figure out the problem of the tradeoff. The economy will not be sustainable in the future if more drastic measures are not taken. On the other hand, employment is essential for both short term and long term goals of the economy (Vatn, 2005).
Population and sustainable development
Population growth and demography are essential factors sustainable development. Human beings procreate at different levels, depending on their environment. For instance, after the world war, the baby boomer generation came to be due to stable US internal environment and improved economic performance. Population in China is among the top assets driving growth. China has about a third of the world population. This is significant, due to the costs of production. Sustainable development would require a stable decrease in the population growth, and increase in life standards. This informs the policy making process in China. Every couple is allowed to have one child. The already robust population drives economic growth through cheap labor and consumption (UNFPA, 2011).
The aspect of the population also covers human migration. People move from one country to the other for employment. In some cases, the immigration is not sustainable. For instance, the number of Mexicans migrating to the US in the last decade has surpassed sustainable levels. Immigrants often take up an essential part in economic growth. Most of them are low wage workers. For the US, where a large portion of the population is skilled labor, the unskilled or semi-skilled labor is essential. However, the challenge comes in regulating immigration and protecting their interests. They are exploited by employers, due to the illegal status of most immigrants. They get paid less than legally required and are over worked without any fringe benefits (Daly, 2007).
Sustainable immigration is required for sustainable development. Policies such as the green card program allow the US to vet individuals coming in and their benefit to the economy. Other programmes that nationalize foreigners are also essential. For instance, after the fall of Hitler’s regime in Germany, large numbers of German scientists were relocated to the US and offered citizenship. These contributed highly to the development of US research. Registering immigrants allows the government to control their numbers to a sustainable level and protect them from exploitation (Daly, 2007).
Sustainable development allows room for flexible labor. That is, an economy is dependent on local and foreign labor. This is taken care in sustainable immigration. If just enough individuals immigrate into the country, they meet labor needs appropriately. This allows the economy to develop. Increased and uncontrolled immigration leads to high unemployment rates. This affects the immigrants as well as the residents of the country. Immigrants present cheaper labor and are willing to work for less than minimum wage. Sustainable immigration also involves balancing between foreigners’ jobs and local jobs. A sustainable system will consider the interests of the local population in terms of facilities and employment (Daly, 2007).
Carbon Tax
Carbon tax is a pollution levy charged on production, supply or use of carbon based fossil fuels. The system of the carbon tax is based on the economic negative externalities. Negative externalities are costs of production that are not paid by a producer while producing a product. Carbon tax is seen a policy geared towards sustainable development. Individuals using fossil fuels have to pay more to cover the environmental degradation impacted (McKibbin, Morris, & Cai, 2012).
Carbon tax can improve sustainable development. In order to avoid paying carbon tax, companies innovate production processes that either reduce the amount of fuels used or replace the fossil fuel entirely. For instance, a company that uses diesel fuelled cars for delivery can switch to hybrid cars or electric cars. This reduces costs of production due to carbon tax. Carbon tax is also useful in restoring the environment and funding research into alternative energy (Metcalf, 2009). This promotes sustainable development.
Carbon tax is opposed in the same way other green policies are opposed. There is a concern that the imposition of this tax often leads to job loss as companies move to countries that do not impose this tax. Many large economies do not charge carbon tax. The US, China and Russia resist carbon taxation due to its implication on manufacturing and employment. The benefits or effectiveness of carbon taxes in sustainable development is not well enhanced. This is due to the number of countries not levying the tax. Serious green gas producers are located in these countries (Metcalf, 2009).
Carbon tax, therefore, can increase unemployment rates. In any case, increased tax reduces profitability for organizations. The strain on earnings coupled with increased competition in the market forces companies to cut down on expenses. This usually leads to layoffs. Thus, there is an indirect effect of carbon tax on employment. Nonetheless, it can be argued that the job losses due to carbon taxes will be recovered through green jobs. This is a long term argument as green jobs still account for a significantly low proportion of the labor force (Metcalf, 2009).
Conclusion
Sustainable development is essential for economic growth. Sustainable development requires significant changes in the structure of governance and business activities. The debate between the pros and cons of sustainable development is still basic. The short term benefits of sustainable development are weak and combated by strong arguments for the costs involved. However, the long term benefits of sustainable development seem to support the advocacy. The main dilemma in this case being between sustainable development and the resulting unemployment.
Investing in sustainable technology and implementing green policies is essential for the longterm growth of the business. There are, however, other aspects to consider when doing this. First, how will the technology affect my current employees? The suitable sustainable technology will enhance productivity by supporting the abilities of my employees and protecting their job security as much as possible. Second, what is the implication of these practices on my business image? Green policies are good for business image. However, many extreme green policies will damage the image of the business. Therefore, it is pertinent to create a sustainable business with deep consideration for social implications in the work place.
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