Ecologization of the economy and the role of the state: retrospective analysis of scientific approaches

  • I. I. Doronina PhD in Economics, Doctoral Student of Economic policy and governance Department, National Academy for Public Administration under the President of Ukraine http://orcid.org/0000-0002-7032-644X
Keywords: sustainable development, ecological economy, concept of «green» economy, «circular» economy, «green» investment, renewable energy, state regulation.

Abstract

The article covers the chronology of the process of greening the world’s economies, the decline in the dominance of the economic model, which leads to depletion of natural capital and energy resources, large-scale poverty, increasing economic and social gap between countries and regions. Changing the global paradigm, the transition from a strategy of «growth» to a strategy of «development» allows the transition from a resource-oriented and energy-intensive economy to a resource- and energy-saving economy.

The purpose of the article is to systematize scientific work on the formation of the concept of «green» economy, the role of the state in it and identify changes in the investment model.

The scientific novelty of the article lies in the systematization of the theoretical substantiation of the greening of the economy, sustainable development and the concept of «green» economy. These processes lead to the transfer of private capital from «brown» to «clean» («green») technologies, and the state is given the role of a regulatory entity.

Conclusions. It is determined that in economic theory there are a number of schools (neoclassicists, post-Keynesians, environmental economists), which include consideration of environmental issues in the problematic field of their research, which has a significant impact on the theory and practice of public administration. It was found that the greening of the economy, «greening» of production and technology has spread from the global level to the level of real business entities, which has led to the formation of a model of socially responsible investment. State intervention in this process is necessary, but it should be a regulatory entity, act as a catalyst, and not become an alternative source of «green» funding.

References

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References:
1. Meadows, D. H., Meadows, D. L., William, J. R., Behrens, W. (1972). The Limits to Growth. A report for the club of Romer’s project on the predicament of mankind. New York: Universe Books. URL: http://donellameadows.org/wp-content/userfiles/Limits-to-Growth-digital-scan-version.pdf (Last accessed: 17.09.2020).
2. Yakovlev, I. A., Bogacheva, O. V., Kabir, L. S. (2016). Theoretical concepts justifying the reorientation of investment projects towards environmental restoration and a green economy. Factors constraining the development of the «green» sectors of the economy / Center for International Finance. Federal State Budgetary Institution «Scientific Research Financial Institute». URL: https://minfin.gov.ru/common/upload/library/2018/06/main/2016_theory.pdf (Last accessed: 17.09.2020) [in Russian].
3. De Steiguer, J. E. Three theories from economics about the environment. 18.02.2015. URL: http://sofew.cfr.msstate.edu/papers/9706dest.pdf (Last accessed: 17.09.2020).
4. Holt, R. P. F., Pressman, S., Spash, C. L. (Eds.). (2009). Post Keynesian and Ecological Economics: Confronting Environmental Issues. Edward Elgar Publishing.
5. Winnett, A. (2003). Environmental Economics. In: King, J. E. (Ed.) The Elgar Companion to Post Keynesian Economics. Edward Elgar Publishing Ltd.
6. Røpke, I. (2004) The early history of modern ecological economics. Ecological economics, Vol. 50, 3, 293–314.
7. Cavalcanti, C. (2010). Conceptions of Ecological Economics: its Relationship with Mainstream and Environmental Economics. Еstudos avançados, Vol. 24, 68, 53–67.
8. Roodman, D. M. (1997). Review of the Book ‘Beyond Growth: The Economics of Sustainable Development’ by Herman E. Daly. Reprinted from: World Watch Magazine, pp. 36–38 URL: https://earthsharing.org/library/roodman-david_review-of-herman-daly-beyond-growth-1997/?print=pdf (Last accessed: 17.09.2020).
9. Kronenberg, T. (2010). Finding common ground between ecological economics and post-Keynesian economics. Ecological economics, Vol. 69, 7, 1488–1494.
10. Fontana, G., Sawyer, .M. (2016) Towards post-Keynesian ecological macroeconomics. Ecological Economics, Vol. 121, 186–195.
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12. Green economy: The United Nations Environment Programme (UNEP). (2008). URL: https://www.unenvironment.org/explore-topics/resource-efficiency/what-we-do/policy-and-strategy/green-economy (Last accessed: 17.09.2020).
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Published
2020-12-06
How to Cite
Doronina , I. I. (2020). Ecologization of the economy and the role of the state: retrospective analysis of scientific approaches . Scientific Papers of the Legislation Institute of the Verkhovna Rada of Ukraine, (6), 100-107. Retrieved from https://instzak.com/index.php/journal/article/view/1870