太阳能小组


作业1

Yes, it does matter if different legal arrangement is in effect. The two different legal arrangements lead to quite different results. Arrangement B will generate an ideal recycle, but arrangement A will generate more troubles.

Let’s begin our explanation by starting with the present situation of the organic manure processing technology. Now, by such technology, organic manure without bad odor can be produced in large quantity, but the problem is that the market demand for the organic manure is limit, which consequently restrains the development of the technology.

According to the regulation of arrangement B, Jones can complain to the court to enforce arrangement B. Thus Smith has to take the responsibility to prove that his manure does not have offensive odor to impact on his neighbors negatively. He has to submit his testimony to the impartial examiner. At the hearing, if Smith can not establish his innocence, he will receive penalties which include fines and/or "cease and desist" orders. In order to avoid penalty, Smith would have to spend more money to purchase high-quality manure without bad odors, which will enlarge the market demand for high-quality organic manure. Then the manure processing industry will be more profitable, and the organic processing technology will be applied widely, at the same time, more funds will be invested into the research to improve the organic processing technology. So, obviously, this is an ideal recycle to marketize the environment-friendly technology.

But under legal arrangement A, things are quite different and more troubles will be generated. Because under arrangement A, there is no law or regulation that addresses odors that may impact neighbors, Jones has no way to get compensation from Smith for his economic losses, and Smith does not get any penalty, so Smith does not have to bother to pay more money to buy high-quality organic manure without bad odors. Thus the market demand for high-quality manure still remains very low, and the organic manure processing industry remains unprofitable, so it’s difficult to spread the organic manure processing technology, and it’s difficult to find investment to improve the technology. Furthermore, the disputes between Smith and Jones remain and might escalate. So arrangement A generates more troubles, which forms a troublesome recycle.

So, it’s crystal clear that the two arrangements generate two quite different results. Legal arrangement B is much better than arrangement A.

作业2

Taylor’s decision
Assumption A : if Taylor will try his best to recycle the plastic bags. And what will he get and suffer?

What he wins:
·A clean environment without used plastic bags around.
·A relation in harmony to his labors without dissension of garbage.
·Perfect feelings as he lives in a beautiful and peaceful town.
·To be respected as he takes the responsibility of keep the environment clean and sustainable.

What he spends:
·Some time to take the plastic bags away every week or month. Think about the distance, may be a day per month should be appropriate.
·Some money used on the road. Comparing with his salary, he can afford the expense.
·A little patience to collect the plastic bags together everyday.

Assumption B : what if Taylor will not recycle the plastic bags?

What he gets:
·More time to finish his demanding job.
·Keep some money to enjoy his private life.
·Don’t need to worry about the plastic bags.
What he loses:
·No obvious or direct harm to him in the near future. But in a longer time, who knows?

Further discussion

So as discussed above, in the economic aspect Taylor has no good to recycle the plastic bags, and even has to spend some money, which may be seemed as a great loss. But however when we look at the question in another aspect?

In the spirit aspect, Taylor may be happy doing this thing, enjoying the satisfaction of protecting the environment. For the great joy, money is not so important as we thought, isn’t it?

Thinking about the environment, people (not only Taylor) may be benefit much from the case. If the plastic bags were not recycled, where would they go? They may be stacked, may be buried underground, or even be fired. As we know, the plastic bags can’t be absorbed by the nature, so stacking and burying will not perish them, they are surely going to be the pollution someday. Setting the bags on fire would be even worse: burning of the bags gives out plenty of CO2, which strengthen the burden of greenhouse gases. Most important of all, many kinds of poisonous or harmful gases also spread into the atmosphere during the burning, which may greatly destroy our health. If we don’t have a strong and healthy body, money will still mean a lot?

作业3

In this “Business society”, people consider all things in the standard of profit. The Nobel Prize winner Friedman went even further to state that private profit is the highest and foremost destination of enterprises. However, who should consider the profit of all society? If we don’t equalize the society as environment, though in most situations we do, who will protect our right to live in a good environment? All these questions need our deeply reflection.

We often classify the enterprises into four kinds. As shows in the follow matrix, the first which is good for enterprises as well as for society, the second good for enterprises but bad for society, the third bad for enterprises but good for society, and the last bad for enterprises as well as society. Each kind of enterprises has its own typical firm.

  I                   II
  Good for business firm        Good for business firm
  Good for society           Bad for society


  III                  IV
  Bad for business firm         Bad for business firm
  Good for society            Bad for society

Nevertheless, if we change our opinion and consider not the society but the environment, what situations will be? Now you can look at the following matrix. There are also four kinds of enterprises, but the typical firms that stand for each kind won’t be as the former.

I                    II
Good for business firm         Good for business firm
Good for environment          Bad for environment


III                   IV
Bad for business firm          Bad for business firm
Good for environment           Bad for environment

When refer to the first kind of business firms, which is good for themselves as well as for environment, most people will list the famous international big firms, such as Procter & Gamble Microsoft, etc. When people talk about these firms, everyone will look up to them not only their excellent profits making ability, but also their effort on environment protection. Take Procter & Gamble for instance, the annual business turnover is $51.4 billion (2003 - 2004) and their profit reaches $6.48billion. To a university graduate, who is employed by Procter & Gamble, means the most successful job seeking. It is no question that the Procter & Gamble is good for the enterprise itself. Further, the Procter & Gamble always lead an avant-garde position in environment protection. The firm invests a huge number of money on pollution prevention and treatment. It is absolutely an enterprise that is good for environment.

The quadrant labeled Ⅱstands for such firms that they are good for business firms per se but bad for environment. There are many firms of this kind in China, especially in the rural area. In my hometown there is such a business group called Hebei Jingye Jituan(河北敬业集团)。It includes a power station, a chemical plant and an iron making plant. Every year this group can make a good profit and pay a good tax, also many peasant have a work earning some money there. But this firm destroys the environment badly! Every day you can see deep black smoke coming out of its chimney-stalks. Even you live 4 km from that factory you can smell its odor either. The sky over that area is always grey. The main river of our town has been polluted seriously too. Sewage of the factory is let into the river directly. So the water of this river can not be used to wash and irrigate and the emblements along the river die gradually or are not be edible anymore. The school next to the factory is badly affected. The iron making plant also makes a lot of noises so the students have to speak loudly on their ground. The dust in the smoke of the factory usually falls into the school and the students have to shampoo everyday! The government of the small town suffer from the pollution too so they transit their burros to another place. The police station and the law court also moved to other places. You can imagine how polluted it is!

The quadrant labeled Ⅲ stands for a special kind of business firm. They are bad for business firm per se but good for environment. Which kinds of firms will be so “stupid”? I think sewage-farm belongs to this kind of business. Sewage purification can not make a lot of profit during this time in China but they are very important to the environment. So this kind of business is usually financed by government.

The forth quadrant of the “business and environment” matrix refers to bad for business firm and bad for environment. It is somewhat unbelievable that there is this kind of business, but actually there is the kind of business at least in China. Let us give you an example. There has been substantive negative profit in some large-scale corporations of the state in China, especially in the Northeast and in the middle provinces such as Shanxi province, where almost more than the half of the workshops are empty and lots of the workers are at home and get some little money which comes from the Finance of the nation or the province every month to live a hard life. While at the same time, the opening workshops are doing serious pollution producing because of the old instruments and the financing limits of the updating. This kind of business should become impoverished when they aren’t able to afford any more what they should pay, but as to the heavy burden of the bread and cheese things of their workers now and retired, they can’t be bankrupted until the society have been prepared for all these burden. So now, it is a dilemma that how these businesses should go for and what the future will be for them. In fact, this kind of business is one kind of businesses that are bad for business firm and bad for environment.

Further discussion:
Our group are considerate analyze this question with Game Theory. We are study the possibility of changing an enterprise from a situation in Kind Ⅱ、Ⅲ and Ⅳ into Kind Ⅰ. This is an interesting thing; we reflect that if we transfer our incentive mechanisms, the conditions will have an all-new appearance. Our great destination is that, our research will produce a solution that makes the all the enterprises change into the kind which not only good for itself but also good for environment. Although, a long long way needed to go, we have confidence. This is also the dream of all Earth Men.





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