ABSTRACT
This chapter analyzes the connection between economic production and CO2-equivalent emissions. It attempts to look at different aspects of the relationship between CO2-equivalent emissions and the standard measure of economic activity, country gross domestic product (GDP). One may examine a variety of aspects like CO2 per GDP unit, CO2 per capita, and CO2/GDP per capita. The global energy-environment conundrum unfolds with more and more evidence confirming the climate change hypothesis. The chapter examines the major features of the global system of energy consumption and relates it to economic output (GDP) as well as to global emissions of greenhouse gases. Higher level of affluence (GDP) and a larger population are conducive to a higher level of total energy consumption, which in turn leads to bigger total emissions. It can be conclusively shown that CO2 emissions per GDP unit of economic output have fallen over time and that this ratio is smaller in rich countries.
