SCI1300 Final: Economics and Australian Organisations

• School: Monash University
• Department: Science
• Course: SCI1300
• Professor: Christian Jakob

Document Summary

Economists prefer to leave policy to market-based approaches, except in cases of (cid:858)(cid:373)arket failure(cid:859) (cid:858)market failure(cid:859) is a situatio(cid:374) (cid:449)here the a(cid:272)tio(cid:374)s of so(cid:373)e fir(cid:373) or i(cid:374)di(cid:448)idual ha(cid:448)e consequences for someone who has no say in the matter. Reducing carbon emissions would cost the fossil fuel companies but benefit the public. Comparing current and future costs is therefore important. When balancing the costs of climate change damage and the costs of mitigation, warming should be restricted to