Question

David Suzuki, in response to the federal government’s support for the Kinder Morgan pipeline, recently stated “Does the economy come before the air we breathe?” What notion of value is he using? Is this the appropriate one given that it is in the context of a pipeline extension?

Answer 1

The stated kinder morgan pipeline, a trans-mountain pipeline that connects the Alberta and Brtitish Columbia used to transport crude oil, refined products, bitumen while it has the potential to create jobs and increase economic activity in the region it will also have its effects on ecologically sensitive areas as there were lot of cases of spills in the past, the existing and proposed pipeline will be used to transport the diluted bitumen through the strait of juan de fuca ecologically sensitive area this will in turn affect the climate, environment and surroundings them. The value he is using is the concept of Negative Externalities, to the fact that the project will affect its surrounding negatively and while that will also have some costs to Monetize but it will be paid by the people, so he is asking is it really profitable to trade good health, environment to some trade activity.

Yes it is the appropriate one given in the context as for projects externalities have to be accounted for as they should not cause more harm that what would they have offered.