Increasingly there are calls for degrowth, not just to abandon the pursuit of economic growth, but to shrink economies. The call for degrowth comes from environmentalists, including activists in groups such as Extinction Rebellion, and some economists, particularly in the field of ecological economics. It is related to concerns about climate change, pollution, species extinction, and resource exhaustion. Economic growth is to blame, proponents say, and the proposed solution is degrowth, an aggressive contraction of economic activity that requires an acceptance of significantly lower living standards.

The degrowth movement is not just a fringe movement. It is gaining attention worldwide, has international conferences dedicated to it, and tenured academics are supporting or contemplating degrowth.

While its origins may have been altruistic, its impact on society would be devastating. It would require restrictions on personal freedoms, as well as the aforementioned lower living standards. These could only be enforced by an authoritarian government — a serious curtailment of the principles of capitalism, free markets and a liberal democracy.

This paper first reviews the arguments for degrowth and then dissects them, addressing several myths which appear to drive this call. The paper then considers what would likely happen if a degrowth agenda were adopted. Finally, the paper considers how policy advisers and policy-makers should think about economic growth and whether the calls for degrowth should be heeded.