Hostname: page-component-cd9895bd7-q99xh Total loading time: 0 Render date: 2024-12-29T15:10:09.307Z Has data issue: false hasContentIssue false
  • English
  • Français

A. V. KNEESE’S WATER QUALITY MANAGEMENT RESEARCH (1960S), WITHIN THE HISTORY OF ENVIRONMENTAL ECONOMICS

Published online by Cambridge University Press:  03 June 2019

Shogo Nishibayashi
Shogo Nishibayashi*
Affiliation:
Rikkyo University, College of Economics.
Get access Rights & Permissions [Opens in a new window]

Abstract

Allen V. Kneese is called the “father” or “pioneer” of the field of environmental economics but, despite his contributions to that field and the importance of his works, Kneese has not been acknowledged sufficiently in the history of environmental economic thought, and differences between his research and that in the Pigouvian tradition have been obscured over time. This article focuses on his research in the 1960s on water quality management and inquires into differences between his work and that in the Pigouvian tradition. Kneese alternated between theoretical and empirical work and revised the Pigouvian framework pragmatically. The Kneesian framework consists of a two-stage approach, and its substructure is the institutional form of policy agents. To understand the historical meaning of the Kneesian approach, it is useful to compare it to John Krutilla’s “evaluation of non-market value,” Ronald Coase’s “comparative institutional approach,” and Elinor Ostrom’s “Commons.”

Type
Articles
Information
Journal of the History of Economic Thought , Volume 41 , Issue 3 , September 2019 , pp. 411 - 431
Copyright
Copyright © The History of Economics Society 2019 

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

Footnotes

This article is based on parts of my doctoral thesis, which was published in Japanese in 2015, and on a paper that was presented at an international workshop held at Hitotsubashi University, Tokyo, in March 2014. The author thanks Steven Medema, Tamotsu Nishizawa, and Norikazu Takami for instructive comments on an earlier draft of this article. Also, the author would like to give a special thanks to Markus Rüdel (Ruhrverband), Heiko Althoff, and Lars Günther (Emschergenossenschaft) for instruction about their organizations and their projects.

References

REFERENCES

Aslanbeigui, Nahid, and Medema, Steven G.. 1998. “Beyond the Dark Clouds: Pigou and Coase on Social Cost.” History of Political Economy 30 (4): 601–625.CrossRefGoogle Scholar
Ayres, Robert U., and Kneese, Allen V.. 1969. “Production, Consumption, and Externalities.” American Economic Review 59: 282–297.Google Scholar
Backhouse, Roger E., and Biddle, Jeff, eds. 2000. Toward a History of Applied Economics. Durham: Duke University Press.Google Scholar
Backhouse, Roger E., and Cherrier, Béatrice. 2016. “The Age of the Applied Economist: The Transformation of Economics since the 1970s.” https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2868144. Accessed March 19, 2019.Google Scholar
Backhouse, Roger E., and Medema, Steven G.. 2012. “Economists and the Analysis of Government Failure: Fallacies in the Chicago and Virginia Interpretations of Cambridge Welfare Economics.” Cambridge Journal of Economics 36 (4): 981–994.CrossRefGoogle Scholar
Banzhaf, H. Spencer. 2006. “The Other Economics Department: Demand and Value Theory in Early Agricultural Economics.” History of Political Economy 38 (Suppl. 1): 9–31.CrossRefGoogle Scholar
Banzhaf, H. Spencer. 2009. “Objective or Multi-objective? Two Historically Competing Visions for Benefit-Cost Analysis.” Land Economics 85: 3–23.CrossRefGoogle Scholar
Banzhaf, H. Spencer. 2010. “Consumer Surplus with Apology: A Historical Perspective on Nonmarket Valuation and Recreation Demand.” Annual Review of Resource Economics 2 (1): 183–207.CrossRefGoogle Scholar
Banzhaf, H. Spencer. 2016. “The Environmental Turn in Natural Resource Economics: John Krutilla and ‘Conservation Reconsidered.’” https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2777725. Accessed March 19, 2019.Google Scholar
Barnett, Harold J., and Morse, Chandler. 1963. Scarcity and Growth . Washington, DC: Resources for the Future.Google Scholar
Baumol, William J., and Oates, Wallace E.. 1971. “The Use of Standards and Prices for Protection of the Environment.” Swedish Journal of Economics 73: 42–54.CrossRefGoogle Scholar
Baumol, William J., and Oates, Wallace E.. 1988. The Theory of Environmental Policy. Second edition. Cambridge: Cambridge University Press.CrossRefGoogle Scholar
Bode, Harro, Evers, Peter, and Albrecht, Detlef R.. 2003. “Integrated Water Resources Management in the Ruhr River Basin, Germany.” Water Science and Technology 47 (7–8): 81–86.CrossRefGoogle ScholarPubMed
Bromley, Daniel W. 1991. Environment and Economy: Property Rights and Public Policy. Cambridge, MA: Blackwell.Google Scholar
Bromley, Daniel W. 2008. “The Emergence and Evolution of Environmental and Natural Resource Economics.” In Wu, Junjie, Barkley, Paul W., and Weber, Bruce A., eds., Frontiers in Resources and Rural Economics: Human-Nature, Rural-Urban Interdependencies. Washington, DC: Resources for the Future, pp.11–28.Google Scholar
Bromley, Daniel W. 2009. Sufficient Reason: Volitional Pragmatism and the Meaning of Economic Institutions. Princeton, NJ: Princeton University Press.Google Scholar
Brüggemeier, Franz-Josef. 1994. “A Nature Fit for Industry: The Environmental History of the Ruhr Basin, 1840–1990.” Environmental History Review 18 (1): 35–54.CrossRefGoogle Scholar
Caldari, Katia, and Masini, Fabio. 2011. “Pigouvian versus Marshallian Tax: Market Failure, Public Intervention and the Problem of Externalities.” The European Journal of the History of Economic Thought 18 (5): 715–732.CrossRefGoogle Scholar
Coase, Ronald H. 1937. “The Nature of the Firm.” Economica 4 (16): 386–405.CrossRefGoogle Scholar
Coase, Ronald H. 1960. “The Problem of Social Cost.” Journal of Law and Economics 3: 1–44.CrossRefGoogle Scholar
Crocker, Thomas D. 1999. “A Short History of Environmental and Resources Economics.” In van den Bergh, Jeroen C. J. M., ed., Handbook of Environmental and Resource Economics . Northampton, MA: Edward Elgar Publishing, pp. 32–48.Google Scholar
Cropper, Maureen L., and Oates, Wallace E.. 1992. “Environmental Economics: A Survey.” Journal of Economic Literature 30 (2): 675–740.Google Scholar
Eckstein, Otto. 1958. Water Resource Development: The Economics of Project Evaluation. Cambridge, MA: Harvard University Press.Google Scholar
Eckstein, Otto, and Krutilla, John V.. 1958. Multiple Purpose River Development: Studies in Applied Economic Analysis. Baltimore: Johns Hopkins University Press.Google Scholar
The Economist. 2001. “Allen Victor Kneese, Defender of the Environment, Died on March 14th, Age 70.” The Economist, March 24, 2001, p. 97.Google Scholar
Fisher, Anthony C., and Peterson, Frederick M.. 1976. “The Environment in Economics. A Survey.” Journal of Economic Literature 14 (1): 1–33.Google Scholar
Gordon, H. Scott. 1954. “The Economic Theory of a Common-Property Resource: The Fishery.” Journal of Political Economy 62: 124–142.CrossRefGoogle Scholar
Gordon, M. Fair. 1961. “Pollution Abatement in the Ruhr District.” Water Pollution Control Federation 34 (8): 749–767.Google Scholar
Hanemann, W. Michael. 1992. “Preface to Pricing the European Environment.” Edited by Navrud, S.. New York: Oxford University Press.Google Scholar
Hanemann, W. Michael. 2006. “The Economic Conception of Water.” In Rogers, Peter P., Ramón Llamas, M., and Martinez-Cortina, Luis, eds., Water Crisis: Myth or Reality? London: Taylor & Francis, pp. 61–91.CrossRefGoogle Scholar
Hardin, Garrett. 1968. “The Tragedy of the Commons.” Science 162: 1243–1248.Google ScholarPubMed
Hirshleifer, Jack, De Haven, James C., and Milliman, Jerome W.. 1960. Water Supply: Economics, Technology, and Policy. Chicago: The University of Chicago Press.Google Scholar
Kapp, K. William. 1950. The Social Cost of Private Enterprise. Cambridge, MA: Harvard University Press.Google Scholar
Kneese, Allen V. 1956. “An Industry Study Approach to the Problem of Exclusive Dealing.” PhD thesis, Indiana University.Google Scholar
Kneese, Allen V. 1959. Water Resources—Development and Use. Kansas City: Federal Reserve Bank of Kansas City.Google Scholar
Kneese, Allen V. 1962. Water Pollution: Economic Aspect and Research Needs. Baltimore: Johns Hopkins University Press.Google Scholar
Kneese, Allen V. 1963. “Water Quality Management by Regional Authority in the Ruhr Area with Special Emphasis on the Role of Cost Assessment.” Papers in Regional Science 11 (1): 229–250.CrossRefGoogle Scholar
Kneese, Allen V. 1964. Economics of Regional Water Quality Management. Baltimore: Johns Hopkins University Press.Google Scholar
Kneese, Allen V. 1967. Approaches to Regional Water Quality Management. Washington, DC: Resource for the Future. Reprint.Google Scholar
Kneese, Allen V. 1973. “The Faustian Bargain.” Resources 44: 1–5.Google Scholar
Kneese, Allen V. 1977. “Benefit–Cost Analysis and the Atom.” In Steppacher, Rolf, Zogg-Walz, Brigitte, and Hermann, Hatzdeld, eds., Economics in Institutional Perspective: Memorial Essays in Honor of K. William Kapp. Lexington, MA: Lexington Books, pp. 93–100.Google Scholar
Kneese, Allen V. 2000. “Whatever Happened to Benefit–Cost Analysis?” Journal of Contemporary Water Research and Education 116: 58–61.Google Scholar
Kneese, Allen V., Ayres, Robert U., and D’Arge, Ralph C.. 1970. Economics and the Environment: A Material Balance Approach . Baltimore: The John Hopkins University Press.Google Scholar
Kneese, Allen V., and Bower, Blair T.. 1968. Managing Water Quality: Economics. Technology, Institutions. Baltimore: Johns Hopkins University Press.Google Scholar
Kneese, Allen V., and Bower, Blair T.. 1979. Environmental Quality and Residuals Management: Report of a Research Program on Economic Technological and Institutional Aspects. Washington, DC: Resources for the Future.Google Scholar
Kneese, Allen V., and Schultze, William D.. 1985. “Ethics and Environmental Economics.” In Kneese, Allen V. and Sweeney, James L., eds., Handbook of Natural Resource and Energy Economics . North Holland: Elsevier Science Publishers, pp. 191–220.CrossRefGoogle Scholar
Kolstad, Charles D. 2010. Environmental Economics. Second edition. New York: Oxford University Press.Google Scholar
Kula, Erhun. 1998. History of Environmental Economic Thought. London: Routledge.Google Scholar
Krutilla, John V. 1967. “Conservation Reconsidered.” The American Economic Review 57: 777–786.Google Scholar
Medema, Steven G. 2010. “Pigou’s ‘Prima Facie Case’: Market Failure in Theory and Practice.” In Backhouse, Roger E. and Nishizawa, Tamotsu, eds., No Wealth but Life, Welfare Economics and the Welfare State in Britain, 1880–1945. Cambridge: Cambridge University Press, pp. 42–61.CrossRefGoogle Scholar
Medema, Steven G. 2011. “Hes Presidential Address: The Coase Theorem Lessons for the Study of the History of Economic Thought.” Journal of the History of Economic Thought 33 (1): 1–18.CrossRefGoogle Scholar
Medema, Steven G. 2014a. “The Curious Treatment of the Coase Theorem in the Environmental Economics Literature, 1960–1979.” Review of Environmental Economics and Policy 8 (1): 39–57.CrossRefGoogle Scholar
Medema, Steven G. 2014b. “Neither Misunderstood nor Ignored: The Early Reception of Coase’s Wider Challenge to the Analysis of Externalities.” History of Economic Ideas 22: 111–132.Google Scholar
Mishan, Ezra J. 1971. “The Postwar Literature on Externalities: An Interpretative Essay.” Journal of Economic Literature 9: 1–28.Google Scholar
Oates, Wallace E. 1996. The Economics of Environmental Regulation. Northampton, MA: Edward Elgar.Google Scholar
Ostrom, Elinor. 1990. Governing the Commons: The Evolution of Institutions for Collective Action (Political Economy of Institutions and Decisions). Cambridge: Cambridge University Press.CrossRefGoogle Scholar
Pigou, Arthur C. 1912. Wealth and Welfare. London: Macmillan.Google Scholar
Pigou, Arthur C. 1920. The Economics of Welfare. First edition. London: Macmillan.Google Scholar
Pigou, Arthur C. 1932. The Economics of Welfare. Fourth edition. London: Macmillan.Google Scholar
Porter, Theodore M. 1995. Trust in Numbers: The Pursuit of Objectivity in Science and Public Life . Princeton, NJ: Princeton University Press.Google Scholar
Resources. “In Appreciation.” Resources 143 (Spring 2001): 25–26.Google Scholar
Røpke, Inge. 2004. “The Early History of Modern Ecological Economics.” Ecological Economics 50 (3–4): 293–314.CrossRefGoogle Scholar
Tsuru, Shigeto, ed. 1970. Proceedings of International Symposium on Environmental Disruption. Tokyo: Asahi Evening News.Google Scholar
Vatn, Arild, and Bromley, Daniel W.. 1994. “Choices without Prices without Apologies.” Journal of Environmental Economics and Management 26: 129–148.CrossRefGoogle Scholar
Vatn, Arild, and Bromley, Daniel W.. 1997. “Externalities—A Market Model Failure.” Environmental Resources Economics 9: 135–151.CrossRefGoogle Scholar
The Washington Post. “Environmental Economist Allen Kneese, 70.” The Washington Post, March 17, 2001.Google Scholar