The Oxford Dictionary of English (2nd edition, revised) defines economics as “the branch of knowledge concerned with the production, consumption, and transfer of wealth”.  That same volume defines ecology as “the branch of biology that deals with the relations of organisms to one another and to their physical surroundings”.  Both definitions are concerned with the allocation of resources, with economics focusing on the human uses of resources and ecology taking a larger perspective.

How does noticing that economics and ecology are studying essentially the same phenomena enable us to improve our lives?  What do these fields have to do with ‘living green’?  We can find answers to these questions by looking at what we consider a reasonable accommodation to our environment.  Seasons, and weather, change.  In winter we make sure that our homes are sufficiently insulated and that we have enough heat and food.  In summer, we increase the ventilation in our homes and many of us garden.  Similarly, we make an effort to be ecologically responsible by not wasting resources and attempting to use them wisely.

Our reaction to our economic circumstances should be similar to our reactions to our ecological circumstances.  When the economy is ‘booming’ we should be taking advantage of the benefits that can bring us – just as we take advantage of the benefits of summer.  When the economy is struggling we should be prepared to endure the circumstances and take advantage of the opportunities that scarcity brings – just as we do with winter.

Adapting our plans and activities to a ‘summer/winter’ cycle is something that we frequently do without hesitation, simply because it works very well.  There are also times when leading a responsible life – in particular a ‘green life’ – requires us to carefully think through our actions and carefully evaluate their consequences.  If we plan and act carefully, we can often improve the bio-diversity and productivity of a section of land.  If we do not plan and act carefully we run a risk of damaging the bio-diversity and productivity of that same section of land.

So, by asserting that ecology and economics are overlapping fields we provide ourselves with two analogies.  The first is that economic expansions and depressions can be like summer and winter – times of greater or lesser productivity, but no intrinsic change in human happiness because we know to adapt our plans and activities to the circumstances.  The second is that our economic actions, particularly actions taken without regard for the interests and needs of the other participants in the economy, can damage our resource base beyond the ability of the next economic boom (i.e. the next ‘summer’) to fix, a reduction in human opportunities that reduces human happiness.

Consequently, economic planning should attempt to provide opportunities for individuals and communities that enable each person to react to a depression as if it were winter – a season we often find much to celebrate in – and which understands that cycles are normal.

Tags: and Recession, Climate, Ecology, Economics, Weather