Why traditional non-green products appear to be cheaper?
Buying commercial chemical infused or chemically processed products are easy on the wallet and most of us are used to it. These products are cheap because extensive R&D and marketing dollars have already been spent and recouped by the major consumer products companies. But the total price we pay to buy and use these products also includes the damage done to the environment during the production, packaging, transportation, usage, and disposal of the used product in the form of green house emissions, fossil fuel usage, energy use, recycling and trashing. These costs are real and tangible and we all pay for it one way or other but it does not show up in the product cost and in many cases the companies profiting from these products do not even have to worry about these social costs.
But green products maybe better economically for the society
Green and eco friendly products on the market today may appear expensive but they have internalized the social costs to a large degree. Which means that the costs of environmental damage and remediation have been substantially reduced by using these products. Which is a good news made even better when you consider that you and your children will be able to live in a greener world and breathe cleaner air.
But this is not all. Increasing acceptance of these products will drive down the prices lower as the R&D and overhead costs in the production and supply chain of these companies start to spread out. Economies of scale will also make the production process more efficient. While it is difficult to put numbers to this, it is not inconceivable that even in purely economic terms (not counting the environmental benefits), a green and eco lifestyle may overall be a cheaper lifestyle. Health benefits of going green are another positive.
Wouldn’t that be something to look forward to?
And all it takes is to continue to support companies and businesses that provides eco friendly products and services.
Economics of Going Green
Why traditional non-green products appear to be cheaper?
Buying commercial chemical infused or chemically processed products are easy on the wallet and most of us are used to it. These products are cheap because extensive R&D and marketing dollars have already been spent and recouped by the major consumer products companies. But the total price we pay to buy and use these products also includes the damage done to the environment during the production, packaging, transportation, usage, and disposal of the used product in the form of green house emissions, fossil fuel usage, energy use, recycling and trashing. These costs are real and tangible and we all pay for it one way or other but it does not show up in the product cost and in many cases the companies profiting from these products do not even have to worry about these social costs.
But green products maybe better economically for the society
Green and eco friendly products on the market today may appear expensive but they have internalized the social costs to a large degree. Which means that the costs of environmental damage and remediation have been substantially reduced by using these products. Which is a good news made even better when you consider that you and your children will be able to live in a greener world and breathe cleaner air.
But this is not all. Increasing acceptance of these products will drive down the prices lower as the R&D and overhead costs in the production and supply chain of these companies start to spread out. Economies of scale will also make the production process more efficient. While it is difficult to put numbers to this, it is not inconceivable that even in purely economic terms (not counting the environmental benefits), a green and eco lifestyle may overall be a cheaper lifestyle. Health benefits of going green are another positive.
Wouldn’t that be something to look forward to?
And all it takes is to continue to support companies and businesses that provides eco friendly products and services.