Is social polarization bad for the planet? A theoretical inquiry

In: Bulletin of economic research, Band 74, Heft 2, S. 427-456

Abstract

AbstractThe last four decades have been characterized by growing concerns on two key matters: the "environmental question," arising out of the manifest and accelerating injury to the planet caused by human activity, and the "social question," concerning the growth of social polarization and the surge in inequality. This paper addresses the possible ecological impact of social polarization by employing an analytical framework where social classes are differentiated not only by their means but also by their tastes and preferences. We see that the ecological impact of social polarization (or, equivalently, of the decline of the middle class) remains unclear even when, as here, the middle class exhibits more proecological tastes than the other classes, so that we might have imagined that its decline would inevitably impair the planet. We then establish the exact critical threshold for the proportion of the middle class above which their accessing the upper class would harm the planet and discuss its sensitivity to key parameters such as, for instance, the level of inequality. Finally, we tackle the topic of public action to limit the risk that social polarization should lead to greater ecological injury.