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Macroeconomic effects of green recovery programs

Author

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  • Angela Köppl

    (Austrian Institute of Economic Research)

  • Margit Schratzenstaller

    (Austrian Institute of Economic Research)

Abstract

This paper reviews the literature on (potential) green recovery measures in the context of the global financial crisis and the COVID-19 pandemic, focusing on their macroeconomic effects. We find that spending for renewables and energy efficiency is particularly promising with regard to macroeconomic impacts. Moreover, the empirical evidence suggests that green recovery measures are associated with larger macroeconomic effects compared to conventional non-green recovery spending. We also derive lessons learned with regard to open questions and issues as well as accompanying framework conditions which could enhance a macroeconomically successful implementation of green recovery measures.

Suggested Citation

  • Angela Köppl & Margit Schratzenstaller, 2024. "Macroeconomic effects of green recovery programs," Eurasian Economic Review, Springer;Eurasia Business and Economics Society, vol. 14(1), pages 61-86, March.
    • Handle: RePEc:spr:eurase:v:14:y:2024:i:1:d:10.1007_s40822-023-00250-y
    DOI: 10.1007/s40822-023-00250-y
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    1. Paola D’Orazio & Dorothea Schäfer & Andreas Stephan, 2024. "Macro-financial policy at the crossroad: addressing climate change, biodiversity loss, and environmental degradation - introduction to the special issue," Eurasian Economic Review, Springer;Eurasia Business and Economics Society, vol. 14(1), pages 1-11, March.

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