Evolutionary theories environmental and resource economics: Approaches and applications

Recent advances in evolutionary theory have important implications for environmental economics. A short overview is offered of evolutionary thinking in economics. Subsequently, major concepts and approaches in evolutionary biology and evolutionary economics are presented and compared. Attention is devoted, among others, to Darwinian selection, punctuated equilibrium, sorting mechanisms, Lamarckian evolution, coevolution and self-organization. Basic features of evolution, such as sustained change, irreversible change, unpredictability, qualitative change and disequilibrium, are examined. It is argued that there are a number of fundamental differences as well as similarities between biological and economic evolution. Next, some general implications of evolutionary thinking for environmental economics are outlined. This is followed by a more detailed examination of potential uses of evolutionary theories in specific areas of environmental economics, including sustainability and long run development theories, technology and environment, ecosystem management and resilience, spatial evolution and environmental processes, and design of environmental policy.