In a recently published Op-ed, the Chairman of Eunomia Research & Consulting, Dominic Hogg, shares his views on how the fiscal and financial system can help address the environmental crisis.
He argues that to facilitate and accelerate the greening of the economy, a simultaneous shift in policy and finance is required, and they need to co-evolve. He defends that governments ought to focus on taxing activities that generate environmental problems instead of relying on taxes on income, labour, value-added or profit to generate income to fund state activities. Fiscal policy, in his opinion, is a one-step change that can help incentivize action and send signals to the finance community to prevent investment in projects that cause harm to the environment.
Access the article through this link.