Core arguments by Lawrence Summers

  • cost of pollution = harm by death or injury
    • therefore lowest cost in low development countries
  • costs rise disproportionately as pollution increases
    • from dirty (developed) to clean (less developed) countries reduces costs (a form of spreading the load of pollution)
  • clean environment more important with higher income
    • costs fall if pollution is with lesser income countries

The conflict

It all seems so wrong, but how can you argue against it?

Assumptions of Lawrence

  • the value life can be measured in life expectancy
    • the life of an american is worth more than of an african peasant

Poverty and Pollution

  • The greatest cause of misery in the world is Poverty
    • Clean growth = slow growth
    • leading to poverty that could have been mitigated
  • More countries will choose more pollution for more growth
  • There is a trade-off between Pollution and Growth
  • “dirty” industries are chance to escape Poverty
  • factors not included:
    • global vs local pollution
    • promote growth and clean development together
    • links between Trade Policy and environment