How to save the world

Yesterday the UN released another 'doom and gloom' report about the world’s environment, claiming that humanity could face extinction if it doesn't change its wicked ways.

The report will undoubtedly be used by environmentalists to justify all manner of government interference in our lives. The thing they're missing, however, is that property rights and a properly functioning free market would solve almost all of the problems the UN report details. The exhaustion of fish stocks, for instance, is a classic tragedy of the commons situation. In Norway, where fishing policies are based on private property rights, fish stocks are thriving.

The same principle applies to deforestation – it's only the un-owned or state run forests that are being stripped. Privately owned and commercial forests are flourishing, because their owners have an incentive to look after them. Endangered species should be thought of the same way. If you prohibit hunting then the animals will be left to the poachers. If you allow private ownership and commercial hunting, on the other hand, they will be looked after.

Agricultural land is becoming unusable? In developing countries they need private land ownership, so that people take care of the land they farm rather than just draining it of nutrients and moving on. In richer countries, ending agricultural subsidies would stop a lot of uneconomic, high intensity farming and encourage farmers to focus on value-added, high quality produce.

The property rights argument even applies to air and water pollution. If property owners can defend their rights by suing for compensation when someone pollutes their land, then the guilty party will be forced to internalize the cost of damaging the environment, and will have an incentive to change their behaviour.

The list goes on. If we want to protect the environment, property rights are the answer. More government is not.