L’ensemble des contenus Business Digest est exclusivement réservé à nos abonnés.
Nous vous remercions de ne pas les partager.
Do you know what really lies behind the terms degrowth, growth (green or otherwise) and GDP?
Why don't green growth theorists think too fondly of William Stanley Jevons?
A – Because he is a climate sceptic who shouts loud and clear that global warming is nothing more than fake news.
B – Because he declares that technological innovations and better production efficiency do not always save resources and improve the carbon footprint.
C – Because he is at the head of the world’s largest coal mines and is about to become a multi-billionaire thanks to the energy crisis.
Right !
Answer B: The Jevons Paradox, so called after a 19th-century British economist, shows that improving energy efficiency may lead to a product being used more and result in an increase in its related energy, thereby reducing (or even destroying) the anticipated gains. This is what ecology specialists now call the “rebound effect”. Take the following example: Germany invested 340 billion euros in energy renovation for its buildings between 2010 and 2020… and yet, consumption did not drop. Why not? Partly because the inhabitants capitalized on the fall in the cost of energy (the study dates from 2020!) and improved insulation to make themselves more comfortable by heating at 22°C. Similarly, boosting the energy performance of cars has not curbed the demand for fuel.
Wrong !
Answer B: The Jevons Paradox, so called after a 19th-century British economist, shows that improving energy efficiency may lead to a product being used more and result in an increase in its related energy, thereby reducing (or even destroying) the anticipated gains. This is what ecology specialists now call the “rebound effect”. Take the following example: Germany invested 340 billion euros in energy renovation for its buildings between 2010 and 2020… and yet, consumption did not drop. Why not? Partly because the inhabitants capitalized on the fall in the cost of energy (the study dates from 2020!) and improved insulation to make themselves more comfortable by heating at 22°C. Similarly, boosting the energy performance of cars has not curbed the demand for fuel.
How would you define exnovation?
A – It is a concept that comes from the Latin phrase ex novo (“to zero)” referring to an innovation that owes a lot to chance, along the lines of serendipity.
B – It's an innovation that draws on the mistakes of the past (the “ex”).
C – It is the capacity to give up useless and inefficient things once and for all.
Right !
Answer C: Most ecology specialists today declare that innovations or the search for efficiency (carbon, material) will not be enough to meet the targets for reducing greenhouse gas emissions. They also say that we will need to be more courageous to exnovate, i.e., to abandon carbon technology, infrastructure, business models and practices. This would involve not just a great deal of political courage – because there will be losers – but also the start of a vast societal debate to choose, plan and support the changes.
Wrong !
Answer C: Most ecology specialists today declare that innovations or the search for efficiency (carbon, material) will not be enough to meet the targets for reducing greenhouse gas emissions. They also say that we will need to be more courageous to exnovate, i.e., to abandon carbon technology, infrastructure, business models and practices. This would involve not just a great deal of political courage – because there will be losers – but also the start of a vast societal debate to choose, plan and support the changes.
What do Allsafe (a manufacturer of storage solutions for vans), Loom (a clothing brand) and Toward (an e-commerce platform) have in common?
A – They are all trying to prove that the degrowth approach is not incompatible with a company behaving properly.
B – They were founded by a couple of entrepreneurs, the Meadows.
C – They use candles to light their offices since they are degrowth activists.
Right !
Answer A: Allsafe, Loom and Toward (not to mention Shift, the mobile phone manufacturer, and the miller BioKaiser) are endeavoring to transform their economic model so they can maintain a state of economic equilibrium without growth; at the same time, they are decreasing their environmental impact and improving the services provided to society. Julia Faure, one of the founders of Loom, explains that her company offsets the higher production costs linked to the sustainability of its products by spending less in certain other areas (advertising, developing new collections and store networks). One of the thorniest challenges for Loom is how to avoid encouraging consumption when they have products to sell.
NB: The Meadows are not entrepreneurs but two MIT scientists who published a report entitled “The limits to growth (in a finite world)” in… 1972.
NB: The Meadows are not entrepreneurs but two MIT scientists who published a report entitled “The limits to growth (in a finite world)” in… 1972.
Wrong !
Answer A: Allsafe, Loom and Toward (not to mention Shift, the mobile phone manufacturer, and the miller BioKaiser) are endeavoring to transform their economic model so they can maintain a state of economic equilibrium without growth; at the same time, they are decreasing their environmental impact and improving the services provided to society. Julia Faure, one of the founders of Loom, explains that her company offsets the higher production costs linked to the sustainability of its products by spending less in certain other areas (advertising, developing new collections and store networks). One of the thorniest challenges for Loom is how to avoid encouraging consumption when they have products to sell.
NB: The Meadows are not entrepreneurs but two MIT scientists who published a report entitled “The limits to growth (in a finite world)” in… 1972.
NB: The Meadows are not entrepreneurs but two MIT scientists who published a report entitled “The limits to growth (in a finite world)” in… 1972.
In 2019, New Zealand took an unprecedented decision… What was it?
A – They replaced the All Blacks jersey with a very dark grey shirt.
B – They elevated the kiwi to the status of national treasure.
C – They put wellbeing at the heart of all their budget and economic strategies.
Right !
Answer C: At the same time as numerous countries are trying to replace GDP with a holistic vision of prosperity, New Zealand has chosen action: the country’s budget for the fiscal year is devoted to wellbeing, with a dashboard of data on 65 economic, social and environmental indicators together with five major national objectives instead of measuring GDP. And all requests from ministries for budget extensions must now be justified in the light of these priorities. The Australian government has recently decided to follow the example of its small neighbor, and Luxembourg could soon do the same.
Wrong !
Answer C: At the same time as numerous countries are trying to replace GDP with a holistic vision of prosperity, New Zealand has chosen action: the country’s budget for the fiscal year is devoted to wellbeing, with a dashboard of data on 65 economic, social and environmental indicators together with five major national objectives instead of measuring GDP. And all requests from ministries for budget extensions must now be justified in the light of these priorities. The Australian government has recently decided to follow the example of its small neighbor, and Luxembourg could soon do the same.
When it comes to the French and the idea of degrowth, it’s a question of:
A – "I'm interested..."
B – “Why not? But not all alone!”
C – “Don’t even think about it!”
Right !
Answer A and B: So, the French aren’t really prepared to change? Don’t be so sure about it: several recent opinion polls indicate that the concept of degrowth appeals to a large number of our fellow citizens. An Odoxa poll in late 2019 for Medef showed that 67% of French people (70% of British, 62% of Spaniards… but only 46% of Germans) are strongly attracted to degrowth, which they now prefer to the idea of sustainable development. However, it is quite a step from declaring an interest to taking action… and it’s a step that the French will not negotiate all by themselves. Another Odoxa poll from last September shows that the French are waiting for the state to support their ecological metamorphosis... and for business to set an example.
Wrong !
Answer A and B: So, the French aren’t really prepared to change? Don’t be so sure about it: several recent opinion polls indicate that the concept of degrowth appeals to a large number of our fellow citizens. An Odoxa poll in late 2019 for Medef showed that 67% of French people (70% of British, 62% of Spaniards… but only 46% of Germans) are strongly attracted to degrowth, which they now prefer to the idea of sustainable development. However, it is quite a step from declaring an interest to taking action… and it’s a step that the French will not negotiate all by themselves. Another Odoxa poll from last September shows that the French are waiting for the state to support their ecological metamorphosis... and for business to set an example.
Your results
/ 5
SIGN IN
