2021/06/20 by Nicholas Stern, Anna Valero · 2 citations
Economics, Econometrics and Finance · Energy · #Business #Clean technology #Climate Change Policy and Economics #Economic growth #Economics #Energy, Environment, Economic Growth #Energy, Environment, and Transportation Policies #Finance #Green growth #Greenhouse gas #Human capital #Inclusive growth #Natural capital #Natural resource economics #Poverty #Productivity #Sustainability #Sustainable development #Sustainable growth rate #Work (physics) #Zero emission
paper · pdf · doi:10.1016/j.respol.2021.104293
openalex publication_date 2021/06/20 · openalex created_date 2025/10/10 · openalex updated_date 2026/08/01
The climate crisis and the global economic impact of the Covid-19 crisis occur against a background of slowing growth and widening inequalities, which together imply an urgent need for a new environmentally sustainable and inclusive approach to growth. Investments in "clean" innovation and its diffusion are key to shaping this, accompanied by investments in complementary assets including sustainable infrastructure, and human, natural and social capital which will not only help achieve net-zero greenhouse gas emissions, but will also improve productivity, living standards and the prospects of individuals. In this article, we draw on the theoretical and empirical evidence on the opportunities, drivers and policies for innovation-led sustainable growth. We highlight the importance of a coordinated set of long-term policies and institutions that can enable and foster private sector investments in clean innovation and assets quickly and at scale. In doing so, we draw inspiration from Chris Freeman's work on the system-wide drivers of innovation, and his early vision of achieving environmental sustainability by reorienting growth.