Will the Developing World’s Growing Middle Class Support Low-Carbon Policies?
As billions of people in the developing world seek to increase their living standards, their aspirations pose a challenge to global efforts to cut greenhouse gas emissions. The emerging middle class is buying and operating energy intensive durables...
| Main Authors: | , |
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| Format: | Working Paper |
| Language: | English |
| Published: |
World Bank, Washington, DC
2022
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/099428307202220569/IDU0faed1ab60a39b04fe00922a06a770acb282a http://hdl.handle.net/10986/37731 |
| Summary: | As billions of people in the
developing world seek to increase their living standards,
their aspirations pose a challenge to global efforts to cut
greenhouse gas emissions. The emerging middle class is
buying and operating energy intensive durables ranging from
vehicles to air conditioners to computers. Owners of these
durables represent an interest group with a stake in
opposing carbon pricing. The political economy of
encouraging middle class support for carbon pricing hinges
on offsetting its perceived negative income effects. Rising
environmentalism in the developing world could also increase
support for credible greenhouse gas reduction policy. This
paper quantifies these effects by estimating Engel curves of
durables ownership, comparing the grid’s carbon intensity by
nation, and studying the demographic correlates of support
for prioritizing environmental protection. |
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