Jevon's Paradox

Apr 18, 2022

The Jevons Paradox[1] occurs when an increase in efficiency makes a resource cheaper and easier to use, which causes demand increase so much that we end up using more of the resource than we did before.

jevon example Source: Sketchplanations

Example:

  • You get a new car that gets 20 km/liter instead of 10, cutting your cost-per-trip in half.
  • Since it's cheaper, you drive way more, taking extra trips and driving instead of walking.
  • Because you're driving so much more, you actually end up burning more total gas.
Footnotes
  1. [1]

    https://en.wikipedia.org/wiki/Jevons_paradox