Glossary

Austerity

Austerity describes difficult economic conditions created by government measures to reduce public spending.

Circular economy

A model of consumption and production that uses techniques such as reuse, sharing, leasing, repair and recycling to extend products life and reduce waste.

Closed system

A physical system where there is no transfer of matter and energy into it or out of it.

Degrowth

An economic approach that prioritises human wellbeing rather than growth and aims to reduce the throughputs (use of resources and creation of adverse outputs) of economic activity.

Ecological economics

The multidisciplinary study of how humans interact with the planet’s biophysical system, with an emphasis of sustainability and human well-being.

Ecosystem services

The flow of services from a stock of natural capital, such as energy used in production and the ability of the atmosphere to absorb pollution created as a by-product of economic activity.

Neoliberalism

A political ideology that favours free-market capitalism, deregulation, and a reduction in government spending.

Ontological

Related to the nature of being and existence and what is considered to be real.

Social ecological economics (SEE)

School of economic thought that views the economy as interacting with the planet’s biophysical system and human social systems, and concerned with issues such as sustainability and social justice.

Strong sustainability

The assumption that other forms of capital are not substitutes for natural capital.

Technological optimism

A belief that technology can be relied on to ensure the delivery of desired future outcomes.

Weak sustainability

The assumption that other forms of capital may be substituted for natural capital.

Welfare economics

Welfare economics examines the relationship between human welfare and different ways of making social choices.