Showing posts with label economics. Show all posts
Showing posts with label economics. Show all posts

Thursday, May 03, 2012

Economic Recession May Be Needed to Slow Down Global Warming

It’s hard to imagine any politician calling for a recession but that might be what is needed to fight global warming according to the results of a study that compared year-to-year changes in atmospheric carbon dioxide levels with four factors: volcanic eruptions, the El NiƱo Southern oscillation, world population, and the world economy. The factor that best correlated with CO2 increases was above-trend economic activity as measured by gross domestic product. The level of CO2 deviated from the trend by about one half part per million for each trillion in U.S. dollars that the GDP deviated from the trend. Tapia Granados, a University of Michigan researcher who participated in the study, which was published on-line in the journal Environmental Science and Policy, told the University of Michigan News Service that “If ‘business as usual’ conditions continue, economic contractions the size of the Great Recession or even bigger will be needed to reduce atmospheric levels of CO2.”

This is not the first time that research results have indicated the need for economic contraction to fight global warming. A study released by Britain’s Tyndall Center for Climate Change in 2009 reached the same conclusion (see Lower Standard of Living Called for to Fight Climate Change). The Tyndall study called for a reduction in living standards in the wealthier countries over the next 10 to 15 years. Obviously this would be political poison. As it is, masses of people have been out in the streets of several European countries protesting austerity measures and here in the US the main issue in the presidential election battle is how to rebound from the economic collapse of 2008 by creating more economic growth. And Japan is still reeling economically from a tsunami as well as the effects of a nuclear power plant disaster. Slowing down global warming simply may not be possible politically.

Thursday, October 07, 2010

Shrink the Economy to Fight Global Warming Says Author of “Losing Our Cool”

How many times have we heard Al Gore, Thomas Friedman, and others say that unleashing green technology to fight global warming will also drive economic growth? But is economic growth really compatible with fighting global warming? No it isn’t says Stan Cox, the author of a new book entitled “Losing Our Cool: Uncomfortable Truths about Our Air-Conditioned World (and Finding New Ways to Get Through the Summer).” In an interview posted on Grist he cites a paper by an economics professor at the University of Utah which concluded that to keep atmospheric carbon dioxide below 450 ppm, considered by many scientists as the threshold for dangerous climate change, “the world economy is going to have to shrink by 1 to 4 percent per year over the next 40 years.” If that isn't bad enough news for consumption-obsessed societies he also says that we will need “a pretty massive transfer of wealth from wealthy individuals, areas, or countries to those that are less wealthy. When you say we have to reduce the output of the economy by so much each year, there are many, many people in the world that have nothing to reduce. They actually need a bit more production just to get the basic necessities of life.” That’s probably not going to go over too big in Tea Party circles or in the executive suites of major corporations.

A similar conclusion about the need to shrink the economy was reached in a study by the Tyndall Centre for Climate Change Research in Britain. The study called for a reduction in living standards in the wealthier countries over the next 10 to 15 years.

Cox says that a different economic system is required. He also admits that “Unfortunately I'm not, and I'm not sure who is, smart enough to know how to get out of our situation.”

It seems our best hope is that these studies that call for a shrinking economy, a redistribution of wealth within countries and among countries, and even the end of capitalism are wrong. It seems impossible to imagine such radical change taking place within the next few years, which is when it would have to occur to be effective. Right or wrong it should be a topic of discussion in the mainstream press but even that seems too much to ask for.

Sunday, October 04, 2009

Lower Standard of Living Called for to Fight Climate Change

To avoid catastrophic climate change, lower levels of consumption are needed in the rich countries says Professor Kevin Anderson, director of Britain’s Tyndall Center for Climate Change which released a study on how to combat global warming. In an interview with The Times, Anderson said “That may mean having only one car per household, a smaller fridge, buying fewer clothes and electronics and curtailing the number of weekend breaks that we have…It’s a very uncomfortable message, but we need a planned economic recession. Economic growth is currently incompatible with reductions in absolute emissions.” That’s quite a message to countries trying to get out of an unplanned recession. It is also pretty much the opposite of the message that we hear from Al Gore, Thomas Friedman, and numerous Democratic politicians who have been trying to convince everyone that going green to fight global warming is the key to economic growth. It is hard to imagine any politician in one of the rich countries such as the United States running for office on a platform that includes calling for an unplanned recession and promising the voters to lower their standard of living. Who wouldn’t want to run against an opponent saying that. To have any chance of succeeding with calls for lower levels of consumption would require ratcheting up the fear of climate change among the voters to a level that right now is unimaginable. It would have to be palpable fear. The type that keeps you up at night. The type that drives people to drinking and other means of mental escape. Unless the television networks replace all their reality shows, games shows, sit coms, dramas, and sports events with documentaries on global warming it seems unlikely that fear of global warming will increase to above its present level which is nearly undetectable based on the polls that have been taken. It appears in all likelihood that the rich countries will continue to party on and our planet will continue to grow warmer and warmer.