ABSTRACT
In this chapter, Amazonian deforestation and the global greenhouse warming will be discussed as examples of the type of scarcity effects suggested by the alternative view. In looking at these two cases we are interested in two things: first, any evidence to support the alternative view and to indicate that its short-and long-term scarcity effects are real concerns; secondly, the potential impact of these effects on economic activity and a discussion of appropriate policy responses.
