Economics of Climate Politics

The Economics of Climate Politics is a sweeping and deeply analytical exploration of one of the most consequential challenges of our age—the intersection of economic systems, political power, and the global climate crisis. Moving beyond purely environmental narratives, this book situates climate change at the heart of economic decision-making and political negotiation, revealing how markets, institutions, and incentives shape both the causes of the crisis and the pathways toward its resolution.Structured across eighteen comprehensive chapters, the book offers a rigorous yet accessible journey through the key dimensions of climate politics. It begins by establishing the foundational concepts of political economy, externalities, and global public goods, framing climate change as a systemic market failure that transcends borders. From there, it examines the historical roots of carbon dependency, the role of capitalism in driving emissions, and the evolving relationship between scientific knowledge and economic modeling.The narrative then turns to the economic consequences of climate change and the urgent need for mitigation and adaptation. Readers are guided through the complexities of carbon pricing, renewable energy transitions, and climate finance, gaining insight into how investment flows, policy frameworks, and technological innovation are reshaping the global economy. The book also delves into the contentious terrain of international negotiations, climate justice, and equity, highlighting the tensions between developed and developing nations and the moral dimensions of responsibility and fairness.A distinctive feature of the work is its focus on the broader ecosystem of actors shaping climate outcomes. Corporations, financial institutions, governments, and social movements are all examined as dynamic forces within climate politics. The book critically assesses corporate behavior, from lobbying and greenwashing to genuine sustainability efforts, while also exploring the role of behavioral economics in influencing public perception and policy acceptance.Globalization and trade emerge as central themes, with detailed analysis of carbon leakage, border carbon adjustments, and the geopolitics of green technology. The book further investigates the transformative potential of innovation, highlighting emerging technologies such as hydrogen and carbon capture, and the policies required to bring them to scale. Adaptation economics and institutional governance are explored in depth, emphasizing resilience, multi-level governance, and the challenges posed by political structures.In its concluding chapters, The Economics of Climate Politics looks to the future, presenting alternative economic pathways and scenarios for achieving sustainability. It engages with the critical debate between green growth and degrowth, offering a nuanced perspective on how economies might evolve within planetary limits. Throughout, the book underscores the urgency of aligning economic incentives with environmental goals and the necessity of global cooperation in an interconnected world.Written in a scholarly yet engaging style, this book is essential reading for policymakers, students, researchers, and anyone seeking to understand the forces shaping climate action today. It does not offer simplistic solutions, but rather equips readers with the analytical tools and conceptual frameworks needed to navigate a complex and rapidly changing landscape.Ultimately, The Economics of Climate Politics is both a diagnosis and a call to action—an invitation to rethink how economies function, how policies are made, and how humanity can chart a sustainable path forward in the face of unprecedented global change.