I\’m really not convinced that Green is 8% of GDP

Green jobs and the growing ranks of green businesses are one of the few bright spots of the UK\’s recession hit economy – environmental and low-carbon business now makes up 8% of the UK\’s GDP, and provided a third of what growth the economy has seen.

I have a feeling that this number suffers from two problems.

1) They\’ve included anything that is remotely green in their numbers. Rather like those calculations that the internet is 12% of the economy. No, 12% of the economy might use the internet but that is not the same as saying that the internet is 12% of all value added in the economy.

2) GDP is value added. Not turnover. And value added must be measured as net value added, not gross either. So, when we look at the green economy we must, even if we\’re not using that very expansive definition, subtract from the contribution to GDP all the subsidies that \”green\” receives.

Alternative fuels and vehicles have brought in some of the biggest returns – nearly £25bn in turnover in 2011, according to the Department of Business, while water treatment amounted to about £6bn and wind to just over £5.5bn.

See, they\’re lying. Using turnover not value add.

And we can go further. Take their 8% number: that\’s about £110 billion or so. From which we have to deduct subsidies. As we know, the Greens argue that privileged tax rates are a subsidy. As we also know green doesn\’t have to pay the taxes that fossil fuels do. To the tune of some £40 billion a year. So we must subtract this subsidy from the green contribution to GDP. That alone drops us to 5% of GDP….and so we could and should go on to find the real \”green\” contribution to GDP. Which most certainly ain\’t fucking 8% the lying scumbag bastards.

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