Heterodox economics and the biodiversity crisis

Economists must engage with environmental issues such as the biodiversity crisis and heterodox economics provides a more fruitful set of tools than the orthodox approach for doing so. Biodiversity refers to the variability of living organisms at the genetic, species and ecosystem levels and the ecological complexes or interdependencies between species (MEA 2005; DEST 1996: 1; OTA 1987: 3). Through our economic activity, humans have reduced biodiversity to the point where it can be classified as being at crisis-point. For example, there have been 100 well documented extinctions of birds, mammals and amphibians over the last 100 years; and the extinction rate is 100 to 1,000 times the extinction rate experienced without human influence (MEA 2005: 3-4). In Australia, a biodiversity hotspot, 27 of approximately 350 native mammals have become extinct since European settlement (Department of the Environment, n.d.). Across all taxonomic groups there has been a decline in population sizes and/or ranges for the majority of species (MEA 2005: 3) and 10-50% of mammals, birds, amphibians, conifers and cycads are threatened with extinction (MEA 2005: 4). Genetic, species and ecosystem diversity has declined substantially at a global level and species interdependencies have been compromised.