We can't afford the economic costs of addressing climate change
It's not too late to stop runaway climate change
To address climate change we will need to make some changes in the economy. The earth cannot afford a future based on unlimited economic growth and reliance on fossil fuels.
However, we can afford the changes required to move towards a low greenhouse gas economy. At most this would cost Australia only a few percent of its annual GDP over the next few decades. What's more, an economy based on renewable energy and energy efficiency would create tens, if not hundreds, of thousands of new jobs.
CSIRO and the Australian Bureau of Agricultural and Resource Economics say that a carbon tax resulting in a 40% reduction in greenhouse gas emissions by 2050 (from 1990 levels) would decrease economic growth by less than 0.1% per year. While Australia needs to reduce its emissions by far greater than 40%, this demonstrates that it would be relatively inexpensive to address the issue. If we do not take major steps to reduce emissions now, climate change will cost our economy far, far more.
