Green Dreams, Inflationary Realities

Global policy and politics, particularly in the high-income world, have been obsessed with dreams of a green economy. Imposing ever-more rigid methods to reduce greenhouse gas emissions as the way to “save the planet” is almost unchallenged in the media, academia, and corporate boardrooms of the developed world. The results on the ground have been less convincing, as the price of everything—from energy and food to construction costs—rises to unsustainable levels and international trade slows as global recession looms. Billions now face immiseration, malnutrition, or starvation. Economist Isabel Schnabel calls this process “greenflation”—companies’ efforts to reduce emissions have driven up prices, particularly since the Russian invasion of Ukraine. Read Full Article »