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π Economics
Degrowth: is this the end of GDP?

“Degrowth goes far beyond reduction of GDP”

On February 1st, 2022 |
4min reading time
Timothée Parrique
Timothée Parrique
Researcher in Ecological Economics at the School of Economics, Lund University, Sweden
Key takeaways
  • Degrowth is a planned and democratic reduction of production and consumption in rich countries to reduce environmental pressures and inequality, while improving well-being.
  • Economists who study degrowth agree that it is not possible under the current constraints of our economy. As such, another economic system, which could thrive without being forced to keep growing, is needed.
  • Environmental pressures are correlated with income. The latest available figures tell us that the richest 10% of individuals are responsible for half of global emissions.
  • We can make a small portion of growth greener, but only when considering some environmental pressures. For Timothée Parrique we must therefore continue to transform production through eco-efficiency, while investing in sufficiency, and find ways to reduce production and consumption.

Where does the concept of degrowth come from?

The term “sus­tain­able degrowth” appeared in France in 2002 as a slo­gan used to cri­ti­cise the concept of sus­tain­able devel­op­ment. Its ori­gins are diverse 1 and go back to the emer­gence of polit­ic­al eco­logy in the 1970s with authors such as André Gorz and the cri­tique of wage labour, Nich­olas Georges­cu-Roe­gen and bioeco­nom­ics, Cor­neli­us Castori­adis and rad­ic­al autonomy, Françoise d’Eau­bonne and eco­fem­in­ism, Ivan Illich and con­vi­vi­al­ity, Marylin War­ing and the cri­tique of nation­al account­ing. The idea was the­or­ised in France by aca­dem­ics such as Serge Latouche2 and Paul Ariès3 before being developed abroad under the name of “degrowth”.

How can it be defined today?

Degrowth is a planned and demo­crat­ic reduc­tion of pro­duc­tion and con­sump­tion in rich coun­tries to reduce envir­on­ment­al pres­sures and inequal­it­ies, while improv­ing well-being. It has four main char­ac­ter­ist­ics: sus­tain­ab­il­ity, justice, well-being and demo­cracy. Unlike a reces­sion, degrowth is not acci­dent­al and gen­er­al but chosen and select­ive. It is a soci­et­al pro­ject that aims to aban­don the race for mon­et­ary accu­mu­la­tion in favour of a vis­ion of devel­op­ment centred on social health and eco­lo­gic­al resilience.

Degrowth is often described in a rather caricatural way as a return to the stone age or the candle. What exactly is it?

This is a mis­un­der­stand­ing. Coun­tries like the Neth­er­lands or South Korea have the same qual­ity of life as the United States, Aus­tralia, or Canada, but with a much smal­ler eco­lo­gic­al foot­print, and a coun­try like Costa Rica even achieves high social per­form­ance without exceed­ing its eco­lo­gic­al budgets4. Pro­du­cing or con­sum­ing less can mean liv­ing bet­ter, in the same way that eat­ing less red meat, for example can mean bet­ter health. The chal­lenge is to reor­gan­ise the eco­nomy to allow this bio­phys­ic­al sys­tem to take place in the most just and user-friendly way pos­sible. This is why those advoc­at­ing for degrowth employ a wide range of tools, ran­ging from the reduc­tion of work­ing hours5 (to share the avail­able jobs in sec­tors in decline), to social secur­ity food pro­jects6 (to ensure that no one falls into food poverty), or the intro­duc­tion of a car­bon card7 to reduce the use of fossil fuels. A very mod­ern pro­gramme that has noth­ing to do with stones and candles!

Wouldn’t it be enough to make growth greener?

We can make a small part of growth green­er, but only for some envir­on­ment­al pres­sures (for green­house gases, but not for resource use or impacts on biod­iversity) and nev­er com­pletely8.  So we need to con­tin­ue mak­ing pro­duc­tion green­er through eco-effi­ciency (the cur­rent strategy), but also invest in energy suf­fi­ciency and find ways to reduce pro­duc­tion and consumption.

Has degrowth become the subject of research?

Yes, there are now more than 500 aca­dem­ic papers in Eng­lish9.  There are concept papers on the chal­lenges of degrowth in sec­tors such as trans­port10 or tour­ism11, empir­ic­al stud­ies on the role of inequal­ity in glob­al warm­ing12 and mac­roe­co­nom­ic mod­el­ling scen­ari­os13. The sub­ject is grow­ing in pop­ular­ity and uni­ver­sit­ies such as Bar­celona, Leeds, Vienna, and Lund are begin­ning to spe­cial­ise in this area.

So degrowth does not necessarily entail a great anti-capitalist revolution?

Cap­it­al­ism is a sys­tem that favours the accu­mu­la­tion of cap­it­al. The prob­lem is that in an eco­nomy where envir­on­ment­al pres­sures are cor­rel­ated with GDP, accu­mu­la­tion comes at the expense of eco­sys­tems (and very often without increas­ing wel­fare). Eco­nom­ists who study degrowth agree that it will not be pos­sible under the con­straints of the cur­rent eco­nom­ic sys­tem. It is there­fore neces­sary to build anoth­er eco­nom­ic sys­tem that could thrive without being forced to keep grow­ing. Some speak of a wel­fare eco­nomy14, a social and solid­ar­ity eco­nomy15, or a per­ma­cir­cu­lar eco­nomy16. The main idea is that cap­it­al­ism is a sys­tem which ill-adap­ted for the eco­lo­gic­al chal­lenges of the 21st Cen­tury. The big ques­tion is which insti­tu­tions to keep and which to abolish. 

Isn’t there a contradiction in wanting society to move towards energy sufficiency, while at the same time providing everyone with a universal income, which seems more like a Keynesian stimulus tool?

That depends on the type of uni­ver­sal income! To organ­ise degrowth, some people pro­pose an Uncon­di­tion­al Autonomy Allow­ance17 which would be giv­en partly in euros, partly in loc­al cur­ren­cies, and partly as access rights to pub­lic ser­vices. There are oth­er tools such as social guar­an­tees18, or uni­ver­sal basic income19, or the eco­lo­gic­al trans­ition income20. The aim is not to revive the eco­nomy as a whole, but rather to favour cer­tain sec­tors (eco-innov­a­tions and social innov­a­tions, act­ive mobil­ity, dona­tion prac­tices, social hous­ing etc.) and to pen­al­ise oth­ers (fin­an­cial spec­u­la­tion, advert­ising, car pro­duc­tion, avi­ation, the meat industry).

In concrete terms, how can we push for a reduction in consumption?

If envir­on­ment­al pres­sures are cor­rel­ated with income, we will not all approach “decon­sump­tion” in the same way. The latest fig­ures show that the richest 10% of the pop­u­la­tion is respons­ible for half of the world’s emis­sions21.  To tackle the cli­mate crisis, we will there­fore have to drastic­ally reduce inequal­it­ies. This will require soph­ist­ic­ated tools that com­bine eco­lo­gic­al effi­ciency and social justice, such as com­bin­ing a wealth tax with a car­bon pen­alty22.  Fur­ther­more, this is not just a prob­lem of con­sump­tion, but also of pro­duc­tion. Com­pan­ies do not simply respond to con­sumer demand, they also encour­age pur­chases through advert­ising and pro­grammed obsol­es­cence. To put an eco­nomy on a diet, we must first curb these calls for con­sump­tion by reg­u­lat­ing advert­ising and elim­in­at­ing pro­grammed obsolescence.

Interview by Julie de la Brosse
1Pour en savoir plus sur les ori­gines mul­tiples de la décrois­sance, voir la col­lec­tion Les pré­curseurs de la crois­sance de Serge Latouche aux édi­tions Le Pas­sager Clandes­tin
2Serge Latouche, Le pari de la décrois­sance, 2006
3Paul Ariès, Décrois­sance ou bar­bar­ie, 2005
4Fan­ning et al., The social short­fall and eco­lo­gic­al over­shoot of nations, Nature Sus­tain­ab­il­ity, novembre 2021
5Gior­gos Kal­lis et al., « Fri­day Off »: Redu­cing work­ing hours in Europe, Sus­tain­ab­il­ity, avril 2013
6https://​secur​ite​-sociale​-ali​ment​a​tion​.org
7Math­ilde Szuba, Carte car­bone : plutôt qu’une taxe, un quota pour chaque citoy­en ? Social­ter, juin 2019
8Voir le récent rap­port de Car­bone 4 Découplage et crois­sance verte, le rap­port Decoup­ling Debunked, et une revue sys­tématique des études empirique sur le découplage : Helmut Haberl et al., A sys­tem­at­ic review of the evid­ence on decoup­ling of GDP, resource use and GHG emis­sions, juin 2020
9Pour une liste com­plète : https://​timotheepar​rique​.com/​a​c​a​d​e​m​i​c​-​a​r​t​i​cles/, et pour une revue de la lit­térat­ure sur le sujet : Gior­gos Kal­lis, Research On Degrowth, Annu­al Review of Envir­on­ment and Resources, octobre 2018
10Clau­dio Cat­taneo et al., A degrowth approach to urb­an mobil­ity options: just, desir­able and prac­tic­al options, Loc­al envir­on­ment, Jan­vi­er 2022
11Robert Fletch­er et al., Path­ways to post-cap­it­al­ist tour­ism, Tour­ism Geo­graph­ies, aout 2021
12Yan­nick Oswald et al., Glob­al redis­tri­bu­tion of income and house­hold energy foot­prints, jan­vi­er 2021
13Simone D’Alessandro et al., Feas­ible altern­at­ives to green growth, Nature, mars 2020
14https://​well​beinge​conomy​.org
15Jean-Louis Laville, L’économie sociale et sol­idaire. Pratiques, théor­ies, débats, 2016
16Domi­n­ique Bourg, De l’économie cir­cu­laire à l’économie per­ma­cir­cu­laire, Annales des mines, 2018
17Vin­cent Liegey et al., Un pro­jet de décrois­sance. Mani­feste pour une Dota­tion incon­di­tion­elle d’autonomie, 2013
18https://​www​.social​guar​an​tee​.org
19Bap­tiste Mylondo, Pour un revenu sans con­di­tion : Garantir l’accès aux biens et ser­vices essen­tiels, 2012
20Soph­ie Swaton, Pour un revenu de trans­ition éco­lo­gique, 2018
21Lucas Chancel, Cli­mate change and the glob­al inequal­ity of car­bon mis­sions 1990–2020, octobre 2021
22Lucas Chancel, « Il faut un impôt sur la for­tune avec un malus sur le car­bone », Repor­t­erre, avril 2021

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