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Economics

The Economics of Natural Resource Depletion and Sustainability

Quick fact

The concept of 'weak sustainability' suggests that as long as we invest the proceeds from depleting non-renewable resources into other forms of capital (like technology or infrastructure), future generations can be just as well off—even if the resource itself is gone. This idea was formalized by economist John Hartwick in 1977.

Why this is interesting

Every time you fill up your car or charge your phone, you are participating in the global economy of natural resources—and every resource we use today might be a resource that tomorrow's generations won't have. But is there an economic way to think about this trade-off?