ABSTRACT
This chapter provides an in-depth understanding of the dynamics of and requirements for investment geared towards degrowth. Degrowth is understood to be an optimising activity that requires the allocation of investments in corporations and areas of business that meet 1) general demands for ethicality and social, cultural and ecological sustainability, as well as 2) the demand that the investee company reduces, by way of its business activity, its overall production and consumption, or at least their aspects that are most harmful to the environment. The results of the analysis show that the most realistic strategies for degrowth investments are (i) the elimination of the worst polluters and resource gluttons, (ii) the augmentation of good growth and (iii) the transformation of a business into a more sustainable practice. In the third strategy, which combines the first and second ones, different optimisable factors such as the sufficiency of energy and raw materials, population development and employment rate, as well as equity transfers and market reactions, should be taken into consideration. To realise that optimisation, a constant balance in which the economy neither grows nor shrinks should follow the transitional phase of economic downturn.
