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Financing Green Growth

Author

Listed:
  • Gregor Semieniuk
  • Mariana Mazzucato

    (Department of Economics, SOAS University of London, UK)

Abstract

This paper surveys the current state of financing green growth in the energy sector, based on the insight that there are different qualities of finance. In past transformational changes in other sectors, public monies played a key role across the innovation landscape. Public financing was central also in a number of past national energy transitions, as reviewed here for Iceland (from fossil to geothermal energy), Norway (from mainly non-electricity energy to hydroelectricity), France (from oil to nuclear) and the United States (from conventional to shale gas). In the current transition to low-carbon energy supplies, there is much public activity, most directed and concerted in China, but also reasons to doubt it is enough and applied in the right places to be able to finance the transition to a low carbon sector on time scales consistent with current climate change mitigation targets. A discussion of opportunities and challenges to a more central role for public financing concludes, drawing also on insights from the recent mission-oriented innovation literature.

Suggested Citation

  • Gregor Semieniuk & Mariana Mazzucato, 2018. "Financing Green Growth," Working Papers 210, Department of Economics, SOAS University of London, UK.
    • Handle: RePEc:soa:wpaper:210
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    File URL: https://www.soas.ac.uk/sites/default/files/2022-10/economics-wp210.pdf
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    References listed on IDEAS

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    Cited by:

    1. Deleidi, Matteo & Mazzucato, Mariana & Semieniuk, Gregor, 2020. "Neither crowding in nor out: Public direct investment mobilising private investment into renewable electricity projects," Energy Policy, Elsevier, vol. 140(C).
    2. Tao Yang & Rong Wang, 2023. "Research on the Impact of Green Finance and the Digital Economy on the Energy Consumption Structure in the Context of Carbon Neutrality," Sustainability, MDPI, vol. 15(22), pages 1-19, November.

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    More about this item

    Keywords

    energy intensity; labor productivity; decoupling; green growth; stylized fact;
    All these keywords.

    JEL classification:

    • O44 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Environment and Growth
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • Q43 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Energy and the Macroeconomy
    • E17 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Forecasting and Simulation: Models and Applications

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