Economic Challenges to Addressing Climate Change

LObbying

The fossil fuel industry has deep pockets and has demonstrated its ability to spend hundreds of millions on lobbying for more favourable conditions whether that be deregulation or cutting of taxes

Potential Broader Economic Consequences

While the consequences of climate change are dire and there are substantial opportunities within the green economy, the extractive industry especially in Canada remains an economic pillar. A formal green transition is likely to increase prices for an undetermined period of time which can be detrimental to many families. 

no clear cost

There is no definitive price tag to solving climate change. It is an open ended issue dependent on human behaviour throughout the globe. This can be contentious because if one country such as a small island nation invests heavily and does their part to address climate change but still suffers from sea-level rises the question of who should pay what becomes center stage.

lack of resources

While a transition to a green economy will create jobs and opportunity, it is costly. Therefore supports need to be in place to assist individuals and other governments who are unable to cover the costs themselves. This is critical as it not only furthers the global green transition but also plays  a role in ensuring climate justice.