Pascal van Griethuysen, PhD. Graduate Institute of International and Development Studies Geneva, Switzerland MIA Geneva – Why are we growth-addicted ?

Outline  property & capitalist expansion  eco-social repercussions  the transition  obstacles  conclusions

Capitalist Economy PROPERTY INSTITUTION  property titles ( material & immaterial yields )  credit relation & money creation  capitalisation & self-expansion

Monetary capitalisation CREDIT RELATION Creditor Debtor financing (money creation) payback + interest limited time solvability profitability time pressure

Property Economy Condition : CAPITALIST SELF EXPANSION Property material & immaterial assets Financed activities money creation  circular & cumulative property self-expansion monetary return  monetary value of engaged property

END :  property value = monetary growth MEANS ?  physical growth ( spatial expansion, biotic resources overexploitation, industrialisation, mineral resources depletion )  commercial strategies ( lay-off, delocalisation, marketing, advertising )  institutional strategies ( commoditisation, enclosure, market creation; selective deregulation & liberalisation )  profit driven innovations ( technical, commercial, financial & institutional )  property capitalisation & concentration ( acquisitions & fusions )

Property Economy ABS’ EXPANSION (USB$)

Property expansion ECO-SOCIAL CONSEQUENCES  resources depletion & surexploitation  ecological degradation  widening inequities (exclusion, power concentration)  eco-social vicious dynamics

The Transition A HIERARCHY INVERSION Property economy eco-social considerations subordinated to economic capitalist rationality Economic rationality Sustainable Development economic activities subordinated to eco-social imperatives Eco-social rationale

GENERAL APPROACH  subordinate property expansion to eco-social considerations  multiple dimensions & temporalities  integrated strategy & articulated policies The Transition

Implementing Degrowth INTEGRATED MULTI-LEVEL STRATEGY Property Financed activities money creation monetary return scoping property regulating capitalisation orienting investments allocating returns confining expansion

Degrowth transition MAIN OBSTACLES  vested interests  power relations  property economy’s specific path

property agents institutional framework influence reinforcement INSTITUTIONAL LOCK IN Property expansion path capitalist ever more compatible institutional arrangements

CLIMATE REGIME  capitalist initial compatibility (UNFCCC)  marginal environmental objective (Kyoto)  capitalist compatible arrangements (emission quota & trading, carbon finance, capitalisation & speculation)  alternatives’ eviction (contraction/convergence)  governance lock-in (Copenhagen) Capitalist institutional arrangements

 property self-expansion as the driving force of the capitalist/industrial expansion  eco-social repercussions : need for transition  property & eco-social rationale  integrated strategy of articulated policies  capitalist path dependency & lock-in Conclusion