ABSTRACT

This chapter introduces a third layer, added to the utility-layer and supply-layer. This layer refers to the characteristics of the value-added process and is referred to as the “conversion-layer”. The position in the conversion-layer is determined by two dimensions: The exergy-efficiency and the proportion of the substances recycled. The layer qualifies the work process involved in making the good providable. The last part of the chapter revisits the examples in in the previous chapter to consider how the changes in public goods are interpreted as changes in the position in the conversion-layer. The introduction of a revenue-neutral carbon tax is added as a last example of a change in a public good. By introducing such a tax, it seems that regulators incentivize the public by linking a created common pool supply with a private supply to accomplish a reduction in the entropy production.