Government Influences- Environment

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Environmental Government Influences

Governments intervene to limit the effect of the external costs to society by;

- imposing a tax on businesses to take account of these external costs to society

- offering a subsidy to businesses if they produce in a more environmentally friendly way

-introducing laws which force businesses to operate in a more environmentally friendly way

UNFCCC have the objectives of;

-creating strategies to adopt to climate change

-finance to enable action on mitigation and adaptation

-a reduction of green house emissions

-technology development and transfer to allow green development

UK and governments response to UNFCCC;

-create a new independent body to monitor progress of carbon reduction targets

-implement recycling legistlation which places more responsibility on manufactures for collection, dismantalry, disposal when they reach their end of purposeness

Impact on UK businesses;

- new production methods investigated that use less fuel and produces less emissions which may also increase costs

- possible increased demand for their goods and services from consumers attracted to "greener" companies

- ways of recycling and reducing waste may have to be found in order to comply with legistlation, firms will have to trains employees and customers to have a more environmentally friendly attitude

- possible cost reductions in long term