MA. ANGELA S.

HIWATIG
BSBA 1.1B
BASIC MICROECONOMICS
1. Mining industry in the Philippines has been a controversial issue once again, as the
Department of Environment and Natural Resources (DENR) secretary, Gina Lopez advocates the
total ban of mining for responsible and sustainable mining in the country. Mining in the
Philippines has been known early as year 1521. The Philippines is actually the fifth most
mineral-rich country in the world. According to Mines and Geo- sciences bureau, the country
has $840 billion worth untapped mineral wealth. The total ban of mining rests on the fact that
mining activities has a destructive effect on natural resources. The dumping of chemical in the
mining could also pollute the other areas near the mining sites. Mining is still considered as a
hazardous industry, though it has its advantages yet the disadvantages far outweigh the
advantages of its existence. On the other hand, President Rodrigo Duterte also said that he
choose to appoint Lopez because she share his stand on responsible mining environmental
conservation. The total contribution of mining is only 234,000 in year 2015 or 0.6% of total
employment in the country.
2. Mining companies profit handsomely from rich resources, but they frequently do so at the
expense of local communities and the environment. Although national laws and policies control
the majority of these activities, putting good practices into practice remains a difficulty.
Governments and business must recognize the social ramifications of mining and implement
laws and regulations requiring community consultation throughout the mine's life cycle in order
to properly transition to "sustainable mining." The government can aid in the reduction of
negative externalities by taxing commodities that generate spillover costs during
manufacturing. As a result of the taxation, the cost of producing such items is effectively raised.
Because it includes the costs of spillovers such as air pollution, the higher cost more accurately
reflects the true cost of production. As a result, such taxation seeks to make the producer bear
the full cost of production. Furthermore, governments may use a quota system to try to limit
negative externalities in order to address the mining problem. A quota system limits the
negative externality to a specific amount. A quota system limits the negative externality to a
specific amount. In the case of pollution, the government may impose a limit on the amount of
pollution a factory can emit by issuing tradable licenses. So that we can avoid the negative
consequences of mining in the Philippines.
3. REHABILITATING MINING SITES
-As a result, many old mine sites are no longer productive, are useless to landowners, and
are nearly hostile to plant and animal life. This damage, however, is not guaranteed to be
permanent. Companies can use a variety of land rehabilitation strategies to restore mined land
to productive use or to accelerate the natural recovery process.
 SHUTTING DOWN ILLEGAL MINING
-Illicit mining remains a major issue in the industry; experts estimate that 14,000 people are
actively engaged in illegal mining in South Africa. Illegal mining is common there, typically on lands
unsuitable for large-scale mining and with no regard for environmental constraints. Preventing illegal or
uncontrolled mining can help ensure that all mining adheres to the same environmental standards and
maintains accountability.

4. It is determined by what is mined, how it is mined, and why it is mined for example,

Mining water in a safe manner that does not harm the environment as a whole: a public good and a
common resource.

Mining titanium oxides to make weapons to shoot your neighbor is not a public good or a shared
resource.

5. No because, one of the bad effects of mining is that it permanently destroys the environment and
makes animals homeless. It is also one of the effects of explosions and tremors due to the mine. Water
resources are also contaminated due to mining. Irrigation is not available for farming. The air is also
polluted.