Question

Economics verses civics

The World Bank supported a project in Cairo to build a highway to rural agricultural communities so that they would be able to sell their produce in the city. The smog from the highway is deleterious to the sphinx, resulting in protests. What are the issues – would you support the highway’s construction ?

Answer 1

Cairo is famous for its Sphinx and Pyramids that are the attraction for tourists around the world. Smog being created due to construction activities has created protests due to different issues. The first issue is the increase in pollution level that is due to the creation of smog in the region and it is harmful to the people living in the area. The second issue is that smog is detrimental to the Sphinx present in the area and its color, complexion and other visual characteristics can be changed due to smog. So, it becomes a danger to the Sphinx as a world heritage site. The third issue is the decrease in travel and tourism activities in the region and negative impact upon the hospitality industries. As a result, foreign revenues coming to the government and earnings to the local people is getting decreased. It becomes a concern and people protest against it. The fourth issue is the losses to local economies that rely on derived demand created by the travel, tourism and hospitality industry in he region of Cairo.

I would support the construction of Highways, but with all the necessary arrangements so that smog is not created. It can be artificial raining and or use of sophisticated machinery that could curb the dust and or other measures that can reduce smog so that there is no pollution up to the level that can harm people and Cairo's world heritage. If these conditions are not met, then there should be different ways or location to build a highway. Here, it is important to consider the social benefits, social cost and social rate of return that consider the impact on people, societies and its heritage along with economic benefits and cost.