What does climate change have to do with economic growth? Canada’s prime minister and premiers concluded that the world only has a five per cent chance of keeping global average temperature from increasing beyond 2 degrees Celsius. On a positive note, the authors found economies worldwide will likely become more energy-efficient, and low-carbon sources like wind and solar will make up a growing share of the mix.
But economic growth will likely cancel out these advances. For every megatonne of emissions reduced through efficiency and clean energy, another megatonne will be produced because of economic expansion. Our economies will get bigger almost as fast as they get cleaner and emissions will not drop quickly enough to stave off catastrophic climate change.
Economic growth has been the primary goal of every Canadian government, provincial and federal, for decades. Leaders’ speeches are peppered with references to it. Election campaigns are filled with promises of economic expansion. Pity the politician who presides over an economic downturn.
Rarely do we stop to ask what economic growth means. In short, it’s a year-to-year increase in production, distribution and consumption, as expressed by gross domestic product.
If GDP strikes you as a poor indicator of well-being, you’re not alone. The late U.S. politician Robert F. Kennedy once remarked that GDP “measures everything, except that which makes life worth living.” It’s a flawed indicator of progress.
The Pan-Canadian Framework expresses optimism that we can reduce emissions while expanding the economy. This promise of “green growth” is popular because it offers something for everybody. It maintains a commitment to economic growth while claiming greenhouse gas emissions will drop. But, as the Nature Climate Change study asserts, “green growth” is likely an oxymoron.
“Degrowth” advocates argue that tackling climate change requires shrinking the economy. A planned slowdown of the economy would be achieved by implementing shorter workweeks and more holidays and encouraging low-consumption lifestyles.
If GDP goes down while other measures of well-being increase, what have we truly lost?
“Agrowth” advocates such as environmental economist Jeroen van den Bergh argue that we should ignore GDP altogether, and instead evaluate progress using indicators such as literacy, employment, rates of diabetes and heart disease, water and air quality and climate stability. If GDP happens to go up while these indicators improve, so be it. If GDP goes down while other measures of well-being increase, what have we truly lost?
Source:: The Huffington Post – Canada Travel