The Net-Zero Transition: What it would cost, what it could bring
The research report analyzes the economic and societal adjustments required for a net-zero transition by 2050, focusing on shifts in demand, capital allocation, costs, and jobs.
(Generated with the help of GPT-4)
| Quick Facts | |
|---|---|
| Report location: | source |
| Language: | English |
| Publisher: | McKinsey |
| Publication date: | January 1, 2022 |
| Authors: | Annabel Farr, Daniel Pacthod, Danielle Imperato, Dickon Pinner, Hamid Samandari, Humayun TArtificial Intelligence, Humayun Tai, Johanneke Tummers, Jonathan Woetzel, Mekala Krishnan, Sophie Underwood, Sven Smit, Tomas Nauclér, Weige Wu |
| Time horizon: | 2050 |
| Geographic focus: | Global, United States, China, European Union, Japan, United Kingdom, India, Sub-Saharan Africa, Latin America, Russia, Ukraine, Commonwealth Of Independent States, Middle East, North Africa, Australia, Canada, New Zealand, Belgium, Denmark, Finland, France, Greece, Ireland, Israel, Netherlands, Portugal, Singapore, Spain, Switzerland. |
| Page count: | 224 |
Methods
The research method involved analyzing the Network for Greening the Financial System (NGFS) Net Zero 2050 scenario, assessing sectoral and geographic impacts, and defining country archetypes based on transition exposure. The analysis considered direct and indirect jobs, GDP, and capital stock in exposed sectors, as well as opportunities and physical risks.
(Generated with the help of GPT-4)
Key Insights
The net-zero transition would involve significant economic transformation, with shifts in demand for goods and services, increased capital spending on physical assets, changes in production costs, and reallocation of labor. This transition would affect sectors and geographies unevenly and could lead to asset stranding and job dislocations, necessitating coordinated action and support for vulnerable stakeholders.
(Generated with the help of GPT-4)
Additional Viewpoints
Categories: 2022 publication year | 2050 time horizon | 2050s time horizon | Australia geographic scope | Belgium geographic scope | Canada geographic scope | China geographic scope | Commonwealth of Independent States geographic scope | Denmark geographic scope | English publication language | European Union geographic scope | Finland geographic scope | France geographic scope | Global geographic scope | Greece geographic scope | India geographic scope | Ireland geographic scope | Israel geographic scope | Japan geographic scope | Latin America geographic scope | Middle East geographic scope | Netherlands geographic scope | New Zealand geographic scope | North Africa geographic scope | Portugal geographic scope | Russia geographic scope | Singapore geographic scope | Spain geographic scope | Switzerland. geographic scope | Ukraine geographic scope | United Kingdom geographic scope | United States geographic scope | asset stranding | capital spending | civic engagement. | climate finance | decarbonization | economic development | economic transformation | economics | energy | energy access | geographic exposure | global geographic scope | human capital | job reallocation | natural capital | net-zero transition | net zero | physical capital | policy measures | production costs | regulation | sector exposure | social support | sub-Saharan Africa geographic scope | sustainability | technological capital | transformation