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Conservation,protected areas and the global economic system: how debt,trade, exchange rates,inflation and macroeconomic policy affect biological diversity
Authors:Clem Tisdell
Affiliation:(1) Department of Economics, University of Queensland, 4072 Brisbane, Australia
Abstract:The main characteristics of the dominant economic system, including the increasing use of markets and money are described. The global system has expanded trade, including international trade, and production tremendously. While this system has the potential to favour nature conservation, in practice the opposite has occurred. Difficulties raised for conservation of biodiversity by short-term economic crises such as deficits in a country's international payments, the adoption of policies for structural economic adjustment, international capital flows, international loans and foreign aid as well as debt-for-nature swaps are discussed. As explained, it is politically difficult in market economies to support nature conservation at the expense of economic growth and as more economies develop and become market economies this problem spreads. Given global interdependence of nations, an important issue is the distribution of net benefits from biodiversity conservation between developed and less developed countries. Possible distributions of benefits and related issues are discussed. In conclusion, the importance of political lobbying by nature conservation groups in developed market economies is emphasised as a means of ensuring correction of market failures. Unfortunately, no economic system is likely to prove satisfactory in itself in conserving biodiversity so political action by conservationists is always required.
Keywords:debt-for-nature swaps  economic growth  employment and conservation  foreign aid  foreign debt  international environmental spillovers  international trade and capital flows  macroeconomic policy and conservation  protected areas  structural economic adjustment policies
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