Contributors: Saes, Beatriz (UNICAMP)
Ph.D. student in Economic Development at the Universidade Estadual de Campinas (UNICAMP)
Scientific paper contribution: Ecological macroeconomics: a critical review
Abstract: Ecological economics recognizes the physical limits to economic growth, generating a paradigmatic criticism of mainstream economics. However, a macroeconomics corresponding to this vision hasn’t been consolidated. This paper describes the most relevant ecological macroeconomics alternatives; identify their bases in economic approaches and the main policies and measures suggestions. We divide the alternatives in two groups – models and scenarios. The first comprises the IS-LM-EE model, based on conventional macroeconomics, and the Systems Dynamics models, capable of analyzing measures related to complex and deep transitions. On the other hand, the most consolidated scenarios are Steady-State Economics and Degrowth, which diverge notably about the actors of transition – bottom-up versus top-down perspective –, reflecting differences in their underlying economic approaches. Further debate about these divergences is an indispensable step for additional advances in the field. Therefore, besides analyzing policy making suggestions, it is important to discuss the assumptions and implicit approaches of initiatives.