Productivity and work in the ‘green economy’: Some theoretical reflections and empirical tests

This paper explores the concept of productivity in post-growth economies. It defines the ‘productivity trap’ that arises from the systematic pursuit of labour productivity and describes two solutions to this trap, each of which has some precedence in economic theory. The first is to reduce working hours – the most frequently cited avenue to combat unemployment in non-growing economies. The second is to engage in structural shifts towards low productivity growth sectors. Using a simple simulation model of the UK economy we illustrate how these two strategies might combine to achieve ‘deep’ carbon emission reduction targets while maintaining high employment.