Nature: From An Economic Point Of View

There is an ambivalent interrelationship between the economy and the environment.

What is the interrelationship of economy and environment?

On the one hand, the natural environment is the basis of all life and business. It provides resources, absorbs waste products and provides living space. A modern society at today’s level of prosperity would be unthinkable without the natural foundations.

However, raw materials such as crude oil, ores, fresh water or land are not available in unlimited quantities. Biodiversity is threatened and therefore finite. And the atmosphere and ecosystems can only absorb carbon dioxide and pollutants to a certain extent.

On the other hand, an efficient economy and a high level of prosperity are the basis for improved environmental protection and sustainable development. After all, dynamic, market-based economies are better able than stagnant economies to produce environmentally friendly innovations.