Relative and Absolute Decoupling: Conceptual Confusions, Policy Consequences, and a Multi-Level Synthesis

Bashkim Cerkini, Roberta Bajrami and Kaltrina Bajraktari ()
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Bashkim Cerkini: Faculty of Engineering and Informatics, University of Applied Sciences in Ferizaj, Str. Rexhep Bislimi, 70000 Ferizaj, Kosovo
Roberta Bajrami: Faculty of Economics, AAB College, Rr. Elez Berisha, Nr.56, Zona Industriale, Fushë Kosovë, 10000 Prishtinë, Kosovo
Kaltrina Bajraktari: Faculty of Economics, AAB College, Rr. Elez Berisha, Nr.56, Zona Industriale, Fushë Kosovë, 10000 Prishtinë, Kosovo

Economies, 2025, vol. 13, issue 11, 1-20

Abstract: Relative and absolute decoupling between economic growth and environmental pressures is one of the most contested topics in ecological economics. This article situates the decoupling debate within a philosophical and normative framework, building on recent critical contributions and on empirical evidence that challenges the green growth narrative. Through a critical analysis of key methodologies, including the TDI, LMDI decomposition, the CAPRO ratio, and MRIO models, it shows that the choice of indicators is not neutral but carries implicit assumptions about progress, ecological limits, and climate justice. The review of empirical results indicates that robust, sustained absolute decoupling is rare and often undermined by rebound effects, outsourcing, or temporary crisis-driven contractions, whereas relative decoupling dominates. On this basis, the article advances a multi-level decoupling synthesis that integrates empirical indicators with normative thresholds such as planetary boundaries, sufficient absolute decoupling, and climate justice, thereby reframing sustainability assessment from the narrow question of technical feasibility to the broader issue of ecological and ethical legitimacy.

Keywords: decoupling; green growth; degrowth; planetary boundaries; rebound effect; climate justice (search for similar items in EconPapers)
JEL-codes: E F I J O Q (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:gam:jecomi:v:13:y:2025:i:11:p:336-:d:1798579

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