[Bread-Baking Typewriter] The Earth in Crisis

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[Asia Economy Reporter Kim Hyewon] Shared resources (共有資源) refer to things that are not owned by any specific individual but are collectively enjoyed by all members of society, such as air or rivers. Social overhead capital (SOC) with public purposes, like roads and ports, also falls under shared resources. The problem lies in the fact that the cost of using shared resources must be borne by society as a whole, not by any single individual. Since the utility value far exceeds the cost, there is a strong tendency to use them carelessly. The fact that the seas and lands of the world are suffering from severe climate change and environmental problems is closely linked to human nature, which inevitably leads to the overuse of shared resources without a sense of crisis.

In A Planet in Peril ? Exploring Natural Capital and Sustainability, the two authors refer to shared resources as "natural capital." Natural capital, which is very similar to shared resources, is a concept introduced to our society through Jeffrey Hill’s 2018 work Natural Capital ? Solutions for Sustainable Growth, by the founder of environmental economics.

A Planet in Peril was co-authored by Laurence Tubiana, the French chief negotiator at the time of the 2015 Paris Climate Agreement, and Claude Henry, a scholar of sustainable development. The book deeply examines the increasingly threatening environmental issues facing all life on Earth in relation to natural capital. It then diagnoses the causes of these problems from a global perspective and offers somewhat abstract prescriptions as follows.

"Without innovation in science, technology, organizations, or behavior, there is no hope of reversing the current trend that destroys natural capital and collapses human society. However, like science, innovation itself is not inherently good. Innovation can also be destructive. Therefore, the most important thing is to establish incentives and institutional mechanisms to ensure that innovation leads to sustainable development."

The two authors consistently instill a sense of urgency by stating, "We have very little time left." This is to sound an alarm for many who deliberately ignore the destruction of natural capital, which has already triggered warning signs, as a threat only to future generations. It may seem too late already, but is there a way to reverse it?

Surprisingly, the answer is simple and clear. The authors emphasize that by effectively utilizing what we already have?science, technology, laws, and institutions?we can turn the crisis of natural capital destruction into an opportunity. They also advise following the spirit of theoretical physicist Albert Einstein (1879?1955), who said, "Make things as simple as possible, but not simpler."

Science and technology are powerful levers. For example, if we can accurately measure the carbon exchange rate between trees and soil in tropical rainforests, the capacity for rainforest conservation will increase.

Laws and institutions are useful tools. The idea is to create a "stick" through laws to punish the abuse of natural capital and provide a "carrot" through economic policies to encourage the right choices. An example is a carbon tax to prevent global warming.

The two authors identify companies that harm both humans and natural capital as "obstacles" blocking the change of direction. However, they regard the development of various initiatives such as the Paris Agreement?where different forms inspire, compete, and coordinate with each other?as an extremely positive signal.

Initially, discussions on the climate crisis centered on advanced countries, but over time, they have spread to emerging countries including Korea, China, and South America, becoming a global agenda. However, this is only the beginning, and there is still a long way to go.

The authors’ final warning is especially chilling for Korean society: "Just as with nuclear threats, we must be equally sensitive to climate change and environmental destruction."

This content was produced with the assistance of AI translation services.