How Nobel award-winning economists are working to fight climate change. In partnership with UBS ad NobelPerspectives
and plans to mitigate the effects are on the table across the globe. With the number of environmental economists on the rise, are we closer to a solution?
There are proposals on the table in many countries, including the US, China, and Canada."If we don't manage to put a price on carbon, we can't solve the problem for two reasons," explains Spence."One, we create an incentive to overuse fossil fuels and generate carbon dioxide; and second, the new technologies that are clean are disadvantaged because one output of the old technology, the fossil fuels, is not being priced properly, in this case negatively.
While international agreements are crucial, Spence sees most of the progress in the area of individual engagement."Tens of thousands of people are in one way or another directly working on this," he says."That's good. It's essential."Spence emphasizes that one approach alone won't be sufficient; you need to change the mindset of people and deliver a better understanding of the positive outcomes it would carry.
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