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Economic waste, as it seemed the previous commenter meant, can definitely be profitable. The cleanup of that waste can be treated as an externality that the com
by Moomoomoo309 3y ago
Economic waste, as it seemed the previous commenter meant, can definitely be profitable. The cleanup of that waste can be treated as an externality that the company doesn't have to pay for at all - that was done a lot in prior decades when they would dump chemicals, for instance. The damage and waste plastic causes to the overall environment is the same way: the companies producing that plastic do not have to pay to clean it up, so that cost for them isn't counted because it's being paid for elsewhere.
- FredPret 3y agoFair point. That is a form of legislation and regulation I heartily support: addressing the tragedy of the commons, and de-distorting the market (most regulation introduces new distortions). Things like a carbon tax, or making especially dirty companies clean up their own pollution. This aligns minimum total economic waste, which includes environmental damage, with maximum profit.