Transition to a Low-Carbon Society and Sustainable Economic Recovery

The following essay outlines a practical proposal to consider simultaneously the issues of mitigation of carbon emissions, financial system stability, and global economic growth objectives.

While many other aspects remain to be addressed, the proposal is hopefully sufficiently detailed to constitute a basis for discussion. It contributes to the emerging body of literature on the finance-climate nexus and is addressed both to those scholars who have been involved involved in climate research for a long time and the “climate agnostics”. The latter group will maintain a benevolent attitude to climate policies as long as they do not worsen current economic and social conditions. But their active support is needed for an ambitious climate action. They will adopt a positive stance only if they perceive it as coming to grips with urgent problems, even though it is obvious that the ultimate solution to the current problems of the world economy depends of international arena other than the UNFCCC.