Twenty years on …

Abstract

The Nobel Prize Committee for Economics has been pretty good about drawing attention to innovative developments in economics since 1969, but in the past 20 years only one prize has been awarded for work that had a strong natural resources dimension, namely that on ad hoc cooperative solutions to the management of common property resources (Elinor Ostrom, University of Indiana). At least three Peace Prizes have been awarded for contributions to issues in conservation and the environment (Al Gore, the IPCC, and Wangari Maathai in Kenya for a tree-planting campaign). Toronto's Globe and Mail newspaper speculated in October 2012 that William Nordhaus would win the prize in economics, probably for his simulation model of economic growth and global warming (an Integrated Assessment Model). But to date only Ms Ostrom has been awarded the Economics Prize for essentially environmental economics. Thomas Schelling has circled back to environmental issues in his research over the years and was awarded the prize in economics, but it was for his contributions to game theory that he was singled out. Ronald Coase (Economics Nobel winner) focused the attention of economists on possible ‘markets’ for externalities, among other things, but few would refer to him as an environmental economist. Robert Solow set out the basic model of economic sustainability but again his prize was for other contributions. Observers in Stockholm and Oslo have thus made known their concern for environmental issues but have remained fairly agnostic about the significance of work by resource and environmental economists on such issues.