Green COVID-19 recovery packages will boost economic growth and stop climate change
6 April 2020
New research by Cameron Hepburn, Brian O’Callaghan, Nicholas Stern, Joseph Stiglitz and Dimitri Zenghelis suggests that international economic recovery from COVID-19 must be environmentally-conscious.
Their analysis of possible COVID-19 economic recovery packages shows the potential for strong alignment between the economy and the environment. They review evidence suggesting that green projects create more jobs, deliver higher short-term returns per dollar spend and lead to increased long-term cost savings, when compared to traditional stimulus packages.
Examples include spending on building efficiency retrofitting, clean R&D spending, and investment in education and training to address immediate unemployment from COVID-19 alongside structural employment opportunities from de-carbonisation. Meanwhile, unconditional airline bailouts performed the most poorly in terms of size and speed of economic as well as climate metrics.
Selected related articles and news coverage
Reset your economy: the power of green stimulus packages (Global Government Forum)
How to grow green (Bloomberg)
Renewable energy projects create jobs, save money, say top economists (Sydney Morning Herald)
Green Stimulus Finds Support From G-20 Officials, Central Bankers (Financial Post)
China can lead a green recovery (China Daily)
Destination: green airline bailouts (Environmental Journal)
What On Earth - listen to Cameron Hepburn from 10m 34 (CBC Radio podcast)