Sweden serves as a primary example that decoupling economic growth from environmental harm is achievable. Since 1995, the nation has successfully increased its GDP per capita while concurrently lowering its per capita energy consumption. This achievement is demonstrated using both domestic energy use figures and a trade-adjusted metric that accounts for energy embedded in imported and exported goods.

Sweden's Decoupling of GDP Growth from Energy Use

This figure presents data for Sweden from 1995 to 2019, illustrating a key example of decoupling. It charts the sustained growth of GDP per capita against the concurrent decline in per capita energy consumption. The chart includes two different metrics for energy use: one based on domestic consumption, and a trade-adjusted measure which subtracts the energy used to produce exports and adds the energy used to produce imported goods.

Figure 2.24: Changes in energy use and changes in GDP per capita in Sweden (1995–2019)

A line chart for a specific country from 1995 to 2019 shows that economic output per person has steadily increased. At the same time, two different measures of energy use per person have both generally decreased, although they follow slightly different paths. One measure tracks energy consumed within the country's borders, while the other also includes the energy used to produce goods that are imported into the country. Analyze the significance of showing both measures of energy consumption. What potential criticism of the country's environmental progress is addressed by including the second, more comprehensive measure?

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