International Economics: IB Economics

The think-tank Carbon Tracker estimates that a move to green energy could be costly for oil states, and cost them $13 trillion in cumulative revenues by 2040. Worse still, it could cost them up to 40% in government revenue. 

This is something that you might argue they should have thought about when extracting oil in the first place. It is a finite resource, and the fact that many of them have squander revenues, or failed to tax them properly is something that, ultimately, they will have to be held responsible for. 

Of course, the downside is that those people who are going to be most affected are going to be the poor and vulnerable in these states - and they are utterly blameless in this regard - who may experience increased poverty as a result of inadequate social safety nets. 

This World Bank clip looks at the impact of the coronavirus pandemic  on an developing economy, arguing that it represents the most significant shock since the Second World War, and that it has disrupted the global economy in an unimaginable fashion.

However, it has also pushed economies towards digital solutions, both developed and, in this case developing economies, such as Uganda.

It highlights the impact of the pandemic on government spending, and suggests that digital platforms have the potential to aid economic recovery and generate sustainable development going forward.