Did you know? The difference between financial, social and environmental sustainability is the following: Financial sustainability refers to the government’s ability to afford to fund a particular policy choice indefinitely. Social sustainability refers to the willingness of society to support a policy indefinitely. Environmental sustainability refers to the ability of nature and the planet to support particular behaviour or policy choices indefinitely without being damaged.
Evaluating some sample economic policies
Case Study Government Considers Introducing a New Cycling Tax
The government is considering a proposal that all cyclists should pay an annual cycling tax of approximately €100 each per annum. The proposal has been made as a way to improve government finances. It would also mean that cyclists would be treated the same as car drivers. According to Barney O’Brien T.D., one of the supporters of the policy, ‘There are estimated to be 200,000 cyclists in the country. If every one of them paid €100, then the government would raise €20 million in badly needed extra taxes.’ It has been estimated that it would cost approximately
€15 million per year to collect these cycling taxes.
Who benefits from the policy? Directly The government will raise some extra taxes. Indirectly
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More civil servants would need to be employed to collect the taxes. 431
