TERMIUM Plus®

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INTERNALIZING EXTERNALITIES [1 record]

Record 1 2017-01-25

English

Subject field(s)
  • Economic Planning
  • Environmental Economics
DEF

[Process of] inserting the effects of production on third parties (external effects) into the costs of production.

OBS

Taking into account the cost of negative external economic effects (e.g. pollution, noise) of certain activities, often with the aim of having the producers of such effects pay for them.

OBS

Economists use the jargon shorthand "internalizing the externalities".

Key term(s)
  • internalisation

French

Domaine(s)
  • Planification économique
  • Économie environnementale
CONT

[...] pour atteindre le maximum de bien-être, il faut prendre en compte les effets externes dans le calcul économique, c'est-à-dire [...] de les internaliser. Pour cet auteur [Pigou] l'internalisation consistait en la mise en œuvre d'un système de subventions-impôts : les industries créatrices d'effets externes positifs seraient subventionnées et les entreprises émettrices d'effets externes négatifs seraient imposées.

Spanish

Campo(s) temático(s)
  • Planificación económica
  • Economía del medio ambiente
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