Fredrik N G Andersson
Associate professor
A scenario analysis of the potential effects of decarbonization on the profitability of the energy-intensive and natural-resource-based industries
Author
Summary, in English
The decarbonization of the energy-intensive and natural-resourced-based industries is associated with potentially large economic costs. In this paper, I explore how decarbonization may affect the profitability and market value of these industries. I also discuss the possibility of compensating for the investment costs through higher prices and enhanced productivity. I answer these questions using scenario analysis with a focus on the industries in the European Union and the United States. I find that the effects on profitability are likely to be modest despite relatively high investment costs.
Department/s
- Department of Economics
- LU Profile Area: Nature-based future solutions
Publishing year
2023-03-30
Language
English
Publication/Series
Journal of Climate Finance
Volume
2
Document type
Journal article
Publisher
Elsevier
Topic
- Economics
Keywords
- climate change
- finance
- European Union
- decarbonisation
- energy intensive industries
- L6
- L7
- Q54
Status
Published
ISBN/ISSN/Other
- ISSN: 2949-7280