Making the great turnaround work
Read the web dossier "Making the great turnaround work: Economic policy for a green and just transition".
When this series was conceived in autumn 2021, the economic policy environment was quite different. Policy-makers focussed on the challenges of implementing the Paris Agreement while overcoming the scars left by the Covid-19 pandemic. COP26 in Glasgow was a global event that attracted many heads of state and government. It was in this context that we started a series of three roundtables among economists and political scientists from both sides of the North Atlantic on how to transform our economies to meet the Paris Agreement's climate goals while addressing inequality and stabilising the financial system. We called this the «Great Turnaround» of our economies, which currently are moving at high speed towards a crash with planetary boundaries. As a background to the roundtables, we asked some participants to contribute short papers on certain aspects of the multifaceted challenges implied in the «Great Turnaround». In the process, drafts of the papers received comments from other participants. This publication aims at contributing to the emergence of a transformative economic thinking, integrating environmental, social, and economic dimensions, after the wreckage of neoliberal economic thought that clearly has reached its date of expiry. It is the product of a collaboration of the Heinrich-Böll-Stiftung, the ZOE Institute for Future-Fit Economies, and Finanzwende Recherche. Jonathan Barth took the lead in conceptualising the contributions.
Product details
Table of contents
Preface 7
Abbreviations 8
Jonathan Barth, Jakob Hafele, and Adam Tooze | Winning the Marathon and the Sprint – Achieving long-term economic
policy objectives in an era of short-term responses 9
I. FINDING COMMON GROUND: A SHARED AGENDA FOR THE FUTURE OF ECONOMIC POLICY 15
Jonathan Barth and Michael Jacobs | Sustainable Prosperity in an Uncertain Future – A shared agenda between green growth and degrowth 17
II. MAKING FINANCE, CENTRAL BANKS AND FISCAL POLICY SERVE LONG-TERM GOALS 27
Frank van Lerven | Changing Europe's Fiscal Rules: Unleashing Public Investment for a Socially Just Green Deal 29
Daniela Gabor | Green Central Banking 39
Carolyn Sissoko | The Role of Financial Markets in a Green Transformation 46
III. BEYOND FINANCE: THE ROLE OF THE STATE, INVESTMENTS AND INDUSTRIAL POLICY 53
Peter A. Victor | The Macroeconomics of a Green Transformation: The Role of Green Investment 55
Jochen Markard | Beyond Carbon Pricing: Six Sustainability Transition Policy Principles for Net Zero 66
Antonio Andreoni| Industrial Policy Reloaded – Shaping industrial ecosystems towards sustainable prosperity 77
J. W. Mason | Climate Policy from a Keynesian Point of View 86
IV. THE SOCIAL FOUNDATION AND IT'S IMPLICATIONS FOR THE POLITICAL ECONOMY 95
Daniel Driscoll and Mark Blyth | Just Who Gets Paid-Off in a «Just» Transition? – Some difficult lessons from BlackRock and French populists 97
Claudius Gräbner-Radkowitsch and Jakob Hafele | Why Fostering Socio-economic Convergence in the EU Is Necessary
for Successful Climate Change Mitigation 104
Anna Coote | The Case for a Social Guarantee: Universal Access to Life's Essentials 115
The Authors 125