Intro to the Workshop: Designing the Green Economy CIES/UNEP Geneva December

Green Economies The Green Economy Report -Examples of leading sectors -Examples of leading states -Examples of leading policies

Role of Workshop Process toward a Policy Paper: Framework Paper – “Economic Frameworks” Experts Workshop – Discussion about Policies Policy Briefing – Dissemination at Rio Plus 20

Role of Workshop Designing Composite Policies for purposes of pursuing multiple objectives of two or more of: -environmental goals -innovation/technology goals -growth/development goals -trade/competitiveness goals

Framework Paper - basics Environmental Policy: Resource management involves placing appropriate prices on resources (including natural public goods such as atmosphere, water, etc) Placing appropriate prices on resources is a matter of state intervention

Framework Paper - basics Innovation Policy: Innovation policy relies upon various forms of intervention – prizes, property rights, subsidies Once again state intervention is a necessity for provision of innovation

Framework Paper - basics Technological or Policy Leadership: Resource management policies may take the form of innovation policies – in the sense that state is targeting particular shadow values for resources Targeted prices induce innovations to avoid costs

Framework Paper - basics Competitiveness Implications - Technological or Policy Leadership: Competitiveness implications of such policies will depend upon either: a) accuracy of the state’s forecast of real resource scarcity; or b) the number of other states that follow state’s forecast. Competitiveness will depend on extent to which states policies or prices are adopted in other states

Workshop - Questions Fundamental Questions: -How should composite environmental/growth goals be pursued? -What instruments and policies work to target these goals?

Workshop - Questions -Does it make sense to target technology or policy leadership as a development goal? -Should developing countries be encouraged to pursue these composite policies for purposes of competitiveness?

Workshop – Questions Is state intervention required to target environmental/innovation policies? When is state intervention for these purposes consistent with international trade policies and institutions? What other forms of international policies or institutions could encourage these forms of state intervention and other investments?

Workshop - Format Presentations – set the scene, raise issues Panels – state individual views, discuss issues Open Comment – question or concur Policy Briefing Paper – report the consensus