Fathom Consulting
August 15, 2022

Chart of the Week: Debunking degrowth, again

by Fathom Consulting.

Some continue to make the case that it is impossible to solve climate change without putting a stop to economic growth. The COVID-19 recession (which caused the largest drop in global GDP since at least 1961) reduced the combined emissions of the G7, China and India by 5%; but that drop was temporary, and emissions were higher in 2021 than 2019. Getting to net zero via weaker growth would require a COVID-19-sized recession year after year: a pathway likely to prove politically unpalatable at best. A better route to net zero would be through investment and technological innovation, not by destroying the economy. If this could be achieved, net zero should eventually result in higher, rather than lower growth.

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