Paper Instructions
Economist Herman Daly characterizes neo-classical economic theory as being analogous to a biologist trying to understand the functioning of an animal by considering only its circulatory system and ignoring its digestive system which connects the animal “firmly to the environment at both ends!”
How is this analogous to neo-classical economic theory?
What kind of environmental problems does this kind of neo-classical economic thinking lead to? Explain and provide examples.
[NOTE: Carefully compare the anatomy of the circulatory system with the anatomy of the digestive system before answering this question: The circulatory system includes the heart and the blood vessels. The digestive system includes the mouth, esophagus, stomach, intestines, and anus.].
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