Strategies for the responsible use of natural resource rents are key to sustainable development. Most environmental degradation hits poor people particularly hard, with problems of water supply, clean cooking and heating being of special importance. Our understanding of these problems and their consequences continues to evolve. Human ingenuity can mitigate some of these problems through improved knowledge and technology. Overall, though, the greater challenge for the future is to modify social institutions and behavioral incentives so individuals and communities can better manage human, social, physical, and natural assets over longer time periods.
People change society and the environment because they have incentives to do so.
Social and environmental problems arise, however, when people are either unaware of the consequences, or are aware, but unconcerned because the burdens fall on others. We have a challenge of social action. In looking at social and environmental issues, the needs of the most vulnerable groups require special attention. This topic has been selected because it is at the center of much of the Bank's work and research in recent years and focuses on crucial aspects of development and poverty reduction going forward. As in the past, WDR 2002 will be integrated into the work programs of the Bank, and DEC in particular.