Eco-Capitalism Carbon Money, Climate Finance, and Sustainable Develo

Our planet faces a systemic threat from climate change, which the world community of nations is ill-prepared to address, and this book argues that a new form of ecologically conscious capitalism is needed in order to tackle this serious and rising threat.

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Robert Guttmann CARBON MONEY, CLIMATE FINANCE, AND SUSTAINABLE DEVELOPMENT

Eco-Capitalism

Robert Guttmann

Eco-Capitalism Carbon Money, Climate Finance, and Sustainable Development

Robert Guttmann Economics Department Hofstra University Hempstead, NY, USA

ISBN 978-3-319-92356-7 ISBN 978-3-319-92357-4  (eBook) https://doi.org/10.1007/978-3-319-92357-4 Library of Congress Control Number: 2018942888 © The Editor(s) (if applicable) and the Author(s) 2018 This work is subject to copyright. All rights are solely and exclusively licensed by the Publisher, whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilms or in any other physical way, and transmission or information storage and retrieval, electronic adaptation, computer software, or by similar or dissimilar methodology now known or hereafter developed. The use of general descriptive names, registered names, trademarks, service marks, etc. in this publication does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. The publisher, the authors and the editors are safe to assume that the advice and information in this book are believed to be true and accurate at the date of publication. Neither the publisher nor the authors or the editors give a warranty, express or implied, with respect to the material contained herein or for any errors or omissions that may have been made. The publisher remains neutral with regard to jurisdictional claims in published maps and institutional affiliations. Cover image: © duncan1890/Getty Images Cover design by Ran Shauli Printed on acid-free paper This Palgrave Macmillan imprint is published by the registered company Springer International Publishing AG part of Springer Nature The registered company address is: Gewerbestrasse 11, 6330 Cham, Switzerland

Contents

1 The Challenge of Climate Change 1 2 Moving Toward an Ecologically Oriented Capitalism (“Eco-Capitalism”) 35 3 The Global Emergence of Climate Policy 65 4 Rethinking Growth 99 5 Pricing Carbon 135 6 Climate Finance 169 7 Carbon Money 209 8 Sustainable Development and Eco-Capitalism 251 Bibliography 293 Index 319

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CHAPTER 1

The Challenge of Climate Change

In December 2015, hundred and ninety-five countries signed the ­historic Climate Change Agreement in Paris, committing their governments to steady reductions in the emission of greenhouse gases which are heating up our planet. This crucial first step in the right direction has been a long time coming. For nearly a quarter of a century, ever since the 1992 Earth Summit in Rio de Janeiro, the world community had discussed to no avail how to proceed with a common approach to the global problem of a warming planet. Lacking sufficient consensus, we let several initiatives just peter out ineffectively—from the 1997 Kyoto Protocol to the failed 2009 Copenhagen Climate Change Conf