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# Explain the following terms in a sentence or two: natural capital, carrying capacity, intellectual capital, externality, the triple bottom line. 
;Natural capital
*Those features of nature, such as minerals, fuels, energy, biological yield, or pollution absorption capacity, that are utilized or potentially utilizable in human social and economic systems.
;The earth’s carrying capacity
*May refer to the population that a given ecology can support over the long term.
*Alternatively defined as the earth’s ability to provide required inputs and outputs as well as assimilate the waste outputs for a given population.
;Intellectual capital
*Two sources of intellectual capital in an organization- human capital and organizational capital.
:*Human capital = knowledge & ability.
:*Organizational capital = hardware, software, technology, management methods.
An increase in intellectual capital leads to a more efficient use of resources and reduce waste.  
;Externalities: 
:are external to the buyer & seller.  Traditionally environmental costs are considered externalities.  For example the cost of a tonne of fertilizer does not include the costs for cleaning up any environmental damage it causes (this may be very variable and hard to predict, anyway).
;The Triple Bottom Line
*Traditional economics determines quality of life using only monetary measures (e.g., GDP)- economic capital.
*Marxism & liberalism seek to include social factors- social capital.
*Environmentalism also includes natural capital.
The triple bottom line therefore includes economic, social and natural capital.

(Questions 2 onwards to follow)

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