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Making green sources of growth more inclusive

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A Green Growth Strategy pursues economic growth combined with significant improvements in environmental quality and sustainable resource use. Such a policy requires a shift in production and consumption, which is potentially costly for major production sectors, certain types of households or entire economies. Technological change can reduce the cost but the extent of cost reductions depends on the nature of knowledge spillovers and technology policies. With appropriate burden‐sharing rules and complementary policies, low‐income groups and countries can gain, thus making green growth inclusive. We discuss several aspects of the mechanisms behind inclusive green growth and the policies that could support it.

Document Type: Review Article

Publication date: 2012-04-01

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