Report Suggests Transition , Away From Fossil Fuels , Won't Be Economically Catastrophic.
According to new research, a rapid reduction in the use of fossil fuels is necessary to avoid a devastating climate breakdown.
'The Guardian' reports that scientists now believe the transition would have a minimal financial impact on the majority of the world's population.
Critics argue that rapidly scaling back on fossil fuel use could lead to an economic slump that may thrust millions of people into poverty.
We find that the bulk of financial losses associated with rotten, polluting assets is borne by the wealthy, Lucas Chancel, Co-author & Professor of economics at Sciences Po, via 'The Guardian' .
Only a small share of financial losses is borne by the working and middle class because they have no or relatively little financial wealth, Lucas Chancel, Co-author & Professor of economics at Sciences Po, via 'The Guardian' .
Only a small share of financial losses is borne by the working and middle class because they have no or relatively little financial wealth, Lucas Chancel, Co-author & Professor of economics at Sciences Po, via 'The Guardian' .
According to the study, high-income countries would see two-thirds of financial loss come from the richest 10%.
Of that 10%, over half would be paid for by the top 1%.
Additionally, the study found that the wealthy's "diverse portfolio of investments" means that any losses would make up less than 1% of the rich's net wealth.
It’s not untrue that some wealth is at risk, but in affluent countries, it’s not a reason for government inaction because it would be so cheap for governments to compensate that, Gregor Semieniuk, Co-author & Economics professor at the University of Massachusetts Amherst, via 'The Guardian' .
The study was published on June 22 in the journal 'Joule.'
