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Original Articles

State Budget and Environment Protection

Pages 356-364 | Published online: 04 Sep 2009
 

Abstract

Nature values are disappearing at an alarming rate in Hungary. Deteriorating health standards of the Hungarian population are to a large extent directly caused by the unwholesome environment. One of the most serious social problems we have to face today is unemployment. And yet, the majority of all taxes levied impose a burden on live labor and on human activities (entrepreneurship) in general, instead of providing incentives to save natural resources, prevent environmental pollution, and use as much creative human labor as possible. Similarly, subsidies granted from public funds often counteract sustainable development.

The article was prepared on the basis of a lecture delivered in Pécs, Hungary at the VIA FUTURI event in November 2006.

Notes

1. Long-term unemployment is virtually unknown in Denmark. Employment level comes close to that of the United States of America. The European Union's average level is some 10 percentage points lower, whereas Hungary's employment level even lags behind the EU average by further 10 percentage points. http://www.oecd.org/document/9/0,2340,en_2649_34573_33702089_1_1_1_1,00.html#t_21

2. Revenues from environmentally related taxes in percent of total tax revenue (2003): http://www2.oecd.org/ecoinst/queries/index.htm

3. See: Voluntary agreements in environmental policy: http://www.lelegzet.hu/archivum/2004/09/3093.hpp

4. Scientists say that already now, we should cut by 60–80 percent the quantity of emitted greenhouse gases. However, this goal is only forecasted to be achieved by 2050 at the very best. Morgan Report (www.socialistgroups.org; Key Facts and Figures on Energy Dec06)

6. Letter of eight civil organizations to the Head of State, 2006: http://www.levego.hu/#showArchive1 (in Hungarian)

8. Besides Turkey, Hungary has the lowest level of employment considering OECD member countries.

9. As a comparison: in 2006, the Hungarian state budget's expenditures amounted to HUF 7500 billion, and those of the Health Insurance Fund and the Pension Insurance Fund amounted to HUF 1500 billion and HUF 2000 billion, respectively.

10. People's health only depends some 16 to18 percent on the quality of the healthcare provision system. The remaining part is a function of our way of living, our diet, the ambient environment, and genetic factors. http://efrira1.antsz.hu/down/kulso/egeszsegfejlesztes/nepeuprg/johan_%20bela_program_v6.0-2002-11-04.rtf (in Hungarian)

11. The issue of damage caused by heavy trucks is a typical example. It is promising that after Switzerland, Germany, and Austria, the introduction of performance-related road charges has finally been placed on the agenda in Hungary. A true solution to this problem could be brought about by the soonest possible enactment of a uniform EU regulation, making it compulsory to apply such road charges and stipulating that all costs caused (including environmental damage) must be incorporated into the road charges.

12. Domestic harmful subsidies: advantages granted to any economic activity or (sub)sector and not given to other (especially rival) activities or (sub)sectors.

13. Source: EUROSTAT. Not including agriculture, which we will briefly discuss in a separate section.

14. See relevant reports of the Hungarian State Audit Office. www.asz.hu

15. For instance, almost the whole British aristocracy can be found at the head of the list.

16. A website in the United Kingdom deals with the issue of agrarian subsidies of all EU member states. Besides the heterogeneous record systems, data collection is made difficult by the different interpretation of the principle of free access to information in individual countries. Threatening with publicity is their greatest assistance. www.farmsubsidy.org

18. At present, the quarry has a valid license for 150 thousand tons of limestone.

19. In producing 1 ton of cement, nearly 1 ton of CO2 is emitted into the air because of limestone decarbonization and as a result of burning the heating energy necessary to ensure a furnace temperature of around 1400°C.

21. Since the date of the event, the licensing process has been moving further ahead. In February 2007, the court ruled in favor of the owner in the case of the quarry enlargement, and the license for the cement plant was also issued.

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