General Assembly - UN Documents

A/CONF.216/PC/2
42. Inclusive economic growth remains the only known route out of poverty for
developing countries — as it was for developed countries — and continues as a
centrepiece of development thinking and practice. What sustainable development
thinking has added is the appreciation that this growth should be situated within the
overall capacity of the Earth’s ecosystems and life-support systems. This suggests
two corollaries: firstly, that necessary growth in material consumption (e.g., that
which is needed to eradicate poverty, achieve and exceed the quality of life targets
and extend the benefits of development universally) be completed within the
available resource window; and secondly, that further growth in economic wellbeing
be oriented in such a way as to remain within the regenerative and absorptive
capacity of the planet.
IV. The green economy in the context of sustainable
development and poverty eradication
43. The concept of the green economy is one of the several mutually
complementary constructions that have emerged in recent years to enhance
convergence between the different dimensions of sustainable development. Other
constructions include national sustainable development strategies, the Millennium
Development Goals, integrated policy and planning (especially in key sectors),
sustainable livelihood and pro-poor approaches, sustainable urban management, and
sustainable consumption and production.
44. The green economy approach seeks, in principle, to unite under a single banner
the entire suite of economic policies and modes of economic analyses of relevance
to sustainable development. In practice, this covers a rather broad range of literature
and analysis, often with somewhat different starting points. In terms of starting
point, four different strands can be identified, representing slightly different modes
of economic analysis. One strand approaches the question through the analysis of
market failure and the internalization of externalities. Another takes a systemic view
of the economic structure and its impact on relevant aspects of sustainable
development. A third focuses on social goals (jobs, for example) and examines
ancillary policies needed to reconcile social goals with the other objectives of
economic policy. Finally, a fourth strand focuses on the macroeconomic framework
and development strategy with the goal of identifying dynamic pathways towards
sustainable development. While each of these is partial to particular sets of policy
instruments, they can basically be grouped into a few categories:
(a) Getting prices right, including removing subsidies, valuing natural
resources and imposing taxes on things that harm the environment (environmental
“bads”) in order to internalize externalities, support sustainable consumption and
incentivize business choices. It builds upon some of the earliest writings in
environmental economics; 17
(b) Public procurement policies to promote greening of business and
markets;
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17 Especially David Pearce, Anil Markandya and Edward B. Barbier, Blueprint for a Green
Economy (London, Earthscan, 1989).
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