Green Policies and Economic Growth: Balancing Climate Action with Development

Abstract

The worldwide climate crisis has been a point of controversy on whether green policies promote or retard economic growth toward sustainable development. The paper analyses the impact of environmental policies, such as the price on carbon and renewable energy shift, on the economic performance and the labour market. Even though critics focus on the immediate expenditures, the qualitative analysis based on comparative case studies of policy implementation in different economies shows that properly calculated climate policies can increase innovation, improve energy security, and promote long-term prosperity. We assess the contribution of international agreements such as the Paris Agreement and suggest reasonable measures that can be used to balance ecological and financial goals. The results underscore the fact that the strategic climate policies have long-term advantages that exceed the transitional issues, especially when inclusive social safety nets and industrial-specific strategies are put in place