Wednesday, December 14, 2011

Pavan Sukhdev discusses the economic invisibility of nature at TED Global...

In this talk from TEDGlobal, Pavan Sukhdev explains the economic invisibility of nature and why we need to correct this market failure. He outlines the value of natural capital and explains why it is characterized as an externality because it is not priced by markets. This becomes a challenge because it often leads to the overexploitation and subsequent scarcity of resources that may be irreplaceable. Pavan points out that we are losing natural capital at an extraordinary rate, with implications that may be more severe than the global financial crisis.

Pavan is the CEO of GIST Advisory, an environmental consulting firm which helps governments and corporations manage their impacts on natural capital. He founded the Global Markets Centre in Mumbai and took a sabbatical from Deutsche Bank to lead UNEP’s Green Economy Initiative and the G8+5 commissioned project on The Economics of Ecosystems and Biodiversity (TEEB). Pavan was a speaker at the World Economic Forum in 2010 and 2011 and he serves on the boards of Conservation International and the Stockholm Resilience Centre.

The research done by The Economics of Ecosystems and Biodiversity initiative was cited in my talk on Redefining Our Economic Systems at TEDx Yerevan. Pavan's talk is well worth watching.