Renewable resources

Environmental amenities as a renewable resource: management and conflicts. Environental Economics and Policy Studies

The major assumption made in this paper, is that the environment offers at large two distinct services each of different kind. First, the environmental resources may serve as inputs to the production of conventional goods. An example is the exploitation of an oil source from which, one firm extracts the oil which in turn is used as a fossil fuel for an industry. In the worst case, the use of the natural resources for industrial purposes will negatively affect the environment, e.g. the air quality over an industrial area.