Green growth
The move to a low-carbon economy will create economic opportunities across a broad range of sectors. The Institute carries out research into how ‘green’ policies can be designed to maximise and harness these opportunities and to understand the impact that environmental policies may have on the labour market.
Commentaries and publications
Esin Serin and Pia Andres set out evidence on the UK’s sectoral and technological strengths to assist policymakers as they consider how to allocate support across the economy in a way that maximises green growth opportunities. Read more
Ahead of the Autumn Statement, Anna Valero, Esin Serin and Brendan Curran argue that effective measures to promote greener growth will be essential to ensuring that the UK does not fall behind other countries when it comes to incentivising investment that is good for society and the environment as well as the economy. Read more
Can governments afford the multi-trillion dollar clean transition required to meet climate targets? Dimitri Zenghelis sets out the safest way to restore health to the public finances. Read more
The 2023 Spring Budget was a key moment for the UK Government to make progress providing the building blocks for a productive, sustainable and resilient future. Esin Serin and Anna Valero ask: to what extent has the budget taken us in the right direction? Read more
This report examines how-well placed the UK is to make the required investments for a successful net-zero transition, and the wider economic impact those investments might have. Read more
In this article, we draw on the theoretical and empirical evidence on the opportunities, drivers and policies for innovation-led sustainable growth. We highlight the importance of a coordinated set of long-term policies and institutions that can enable and foster private sector investments in clean innovation and assets quickly and at scale. Read more
In this technical note SYSTEMIQ has aggregated a range of estimates in order to come to a picture of low-carbon investment opportunities across the 2020s. The note accompanies the report by Nicholas Stern, 'G7 leadership for sustainable, resilient and inclusive economic recovery and growth'. Read more
This paper discusses how China's low-carbon transition can act as a new driver of growth in the post-COVID-19 era, including the need to peak carbon emissions during the 14th Five-Year Plan to meet the 2060 carbon neutrality goal. Read more
This policy brief looks at what a just transition to net zero in the UK’s housing sector means in practice and how banks can make it happen, underpinned by government policy and institutions. Read more
The COVID-19 pandemic has underlined the fragility and dangers of the old growth path. There can be no going back to the old normal, argue Amar Bhattacharya and Nicholas Stern. Read more
This paper provides new evidence that financial markets value firms’ expansion into production of low carbon goods and services, but they remain cautious on divesting from the most polluting industries. Read more
This paper examines how diversifying and specialising production towards environmental goods and services is associated with the profitability and market valuation of firms. Read more
Ahead of the General Election, Sam Unsworth analyses the Conservative and Labour Parties’ manifesto pledges on surface transport decarbonisation and the opportunities offered by growth of the zero-emissions transport sector in the UK. Read more
Economies around the world have arrived at a critical juncture: to continue to grow fuelled by fossil fuels and exacerbate... Read more
Alex Bowen contends that policymakers should react to the climate emergency by adopting the new 'green growth' paradigm, changing the nature of economic growth by moving the emphasis away from resource exploitation and towards the generation and use of ideas. Read more
Upon publication of a new special report for the LSE Growth Commission, the authors outline why it is sensible for environmental sustainability to be at the heart of the UK’s growth strategy and how this can be achieved. Read more
Partners from the Investing in a Just Transition project explain the arguments for an equitable low-carbon transition and report on important progress that is being made. Read more
According to a new report from the International Renewable Energy Agency there are 10.3 million renewable energy jobs globally –... Read more
Without robust evidence for a green supporting factor, the European Commission and the High Level Expert Group on Sustainable Finance (HLEG) should look for other avenues to increase green investment says Sini Matikainen. Read more
Government policy in support of innovation often varies across technology areas. An important example are climate change policies that typically try to support so-called clean technologies that avoid greenhouse gas pollution and hamper dirty technologies that are associated with polluting emissions. This paper explores the economic consequences of such policy moves in the short run. Read more
The sale of the government-backed Green Investment Bank (GIB) for £2.3bn to a consortium led by Macquarie Group Limited has... Read more
The future of the UK’s trade with the EU and beyond is currently uncertain. What is certain is that the... Read more
Note that an 8-page policy brief for decision-makers that draws on the full 36-page paper is available. Headline issue Both... Read more
Greater public funding for low-carbon R&D and higher and stable carbon pricing mechanisms are essential to achieve Paris climate goals says Antoine Dechezleprêtre, Associate Professorial Research Fellow at the Institute. Read more
What does the creation of a new Department for Business, Energy and Industrial Strategy (BEIS) mean for climate change policy?... Read more
This paper investigates the impact of the European Union Emissions Trading System (EU ETS) on technological change, exploiting installations level... Read more
This policy brief summarises the main policy implications of a two-year research programme, sponsored by the Global Green Growth Institute (GGGI), which aimed to contribute to the growing evidence base on green growth. Read more
Assessing the consequences of environmental policies for employment presents a considerable challenge, and at present it is not possible for policy-makers to assess conflicting claims about the quality and quantity of green jobs that have already been created, or may be created in the future. Read more
Paper seeks to investigate how industrialised economies managed to achieve the transition from low to high levels of human capital, and goes on to identify lessons for green growth. Read more
‘Green growth’ is almost tautologically required for global welfare to rise in the long run. Economic growth is desirable, not... Read more
Abstract This paper analyses the relative influence of domestic and foreign demand-pull policies in wind power across OECD countries on... Read more
An expansion of economic activities with low impact on ecological resources is a crucial component of the transition to a low-carbon society. “Green” structural change is analysed here through a model with a “progressive” manufacturing sector and a “stagnant” service sector. Read more
Bowen, Alex, 2014. Chapter in: The Global Development of Policy Regimes to Combat Climate Change, World Scientific Publishing. Link to publisher Read more
Neuhoff, K., Acworth, W., Dechezleprêtre, A., Dröge, S., Sartor, O., Sato, M., Schleicher, S., and Schopp, A. 2014. Climate Strategies.... Read more
Par Laurence Tubiana (Professeur à Sciences Po), Teresa Ribera (conseillère sur le changement climatique à l’Institut du développement durable et... Read more
Published in: Environment and Development Economics. Vol 20, Issue 03, June 2015, pp 380 – 406. DOI: 10.1017/S1355770X14000692, Published online:... Read more
Working Paper 141 – Forthcoming in Structural Change and Economic Dynamics (Dec 2014). Abstract The expansion of the share of... Read more
Energy use policies and carbon pricing in the UK Read more
Headline issue The UK has a complex system of energy taxes which affect the business sector. Overlaps between taxes mean... Read more
Fankhauser, Samuel, Bowen, Alex, Calel, Raphael, Dechezlepretre, Antoine, Grover, David, Rydge, James and Sato, Misato (2013) Who will win the... Read more
Chapter 12 in The Green Book. Summer 2013 – Link to publisher Read more
Working Paper 107 Abstract This paper presents the first empirical analysis of programmes to fast-track ‘green’ patent applications in place... Read more
What is green growth? Read more
Working Paper 102 Abstract Can directed technical change be used to combat climate change? We construct new firm-level panel data... Read more
Working Paper 94 Abstract As the world considers greener forms of economic growth, countries and sectors are beginning to position... Read more
Green growth: economic theory and political discourse Read more
Die Europäische Union muss klimaverträgliches Wachstum fördern und private Investitionen entfesseln. Das hilft auch der Wirtschaft aus der Krise. Zeit... Read more
Much of the attraction of ‘green’ growth to politicians and policy-makers is the apparent promise of job creation. Many developing... Read more
With fiscal policy generally constrained by the need to restore confidence in the sustainability of public debt and the effectiveness... Read more
‘Green’ growth, ‘green’ jobs and labour markets Read more
Working Paper 75 Abstract This paper was updated in February 2013 This paper investigates the impact of the EU Emissions... Read more
Technology transfer plays a key role in global efforts to reduce greenhouse gas emissions. In this paper, we characterize the factors that promote or hinder the international diffusion of climate-friendly technologies using detailed patent data from 96 countries for the period 1995–2007. Read more
KPMG, 2011. – External link to download report (PDF) Read more
Reference Bowen, A., and Fankhauser, S. October 2011. The green growth narrative: paradigm shift or just spin? Global Environmental Change, v.21,... Read more
There is much talk at the moment about green growth – environmentally sustainable, biodiverse, low-carbon and climate-resilient growth in human... Read more
Mainstream economics is beginning to recognise the opportunities alongside the climate threat, writes Michael Jacobs. Inside Times Read more
Review of Diane Coyle’s book ‘The Economics of Enough’ Nature, Climate Change. Read more
With the right backing from government, the Green Investment Bank has the potential to unlock huge opportunities for investment and... Read more
Working Paper 44 Abstract This paper examines the relative influence of domestic and foreign renewable energy policies on innovation activity... Read more
A unique green opportunity has arisen for policy makers to create viable newmarkets, boost private investment and innovation, and stimulate... Read more
UK policy makers increasingly see new technologies related to the mitigation of greenhouse gas (GHG) emissions as a potential source... Read more
Sustainable Development Commission’s Publication, 2010 (Contributor) – External link to publication Read more
Using patent data from 66 countries for the 1990–2003 period, we characterise the factors that promote or hinder the international diffusion of climate-friendly technologies on a global scale Read more
Financial Times – registration is required. Read more