Land squeeze

June 21, 2023

Meeting the European Union’s goal of achieving net zero by 2050 will require the number of solar- and wind-power installations to increase threefold by 2030. Among the greatest challenges are the difficulty of finding suitable land for deployment and the barriers created by strict regulations on land use. Partner Raffael Winter and colleagues find that technical, regulatory, and environmental constraints reduce available land for wind projects in Germany by 82 %, with almost 60 % of the restrictions caused by regulatory rules about proximity to populated areas.

To read the article, see “Land: A crucial resource for the energy transition,” May 16, 2023.

A new funding landscape in logistics

June 23, 2023

A surge in funding for logistics start-ups in 2021 was followed by a decline of almost 50 percent at the end of last year, senior partner Ludwig Hausmann and colleagues note in their analysis of 600 logistics start-ups. Due in part to higher interest rates and a shift in consumer spending habits from goods to services, start-up funding decreased sharply in three logistics sectors: distribution and fulfillment, first- and middle-mile brokers, and digital last-mile platforms.

To read the article, see “Start-up funding in logistics: Adjusting to a new reality,” May 16, 2023.

Productivity lags behind ‘paper wealth’

June 22, 2023Global economic growth has been sluggish over the past two decades, even as asset price inflation created “paper wealth” of USD 160 trillion, according to a recent report by the McKinsey Global Institute (MGI). Global net worth for the most part grew with GDP growth until 2000, MGI chair and chair of insights and ecosystems Sven Smit and coauthors note. However, around the turn of the millennium, asset values, net worth, and debt started growing faster than GDP, as G-7 countries saw productivity growth drop from 1.8 % annually for 1980–2000 to 0.8 percent for 2000–18.

To read the report, see “The future of wealth and growth hangs in the balance,” May 24, 2023.

Lift me up

June 20, 2023A range of factors, from balancing stress to having a sense of purpose, can affect the health and well-being of aging populations. The potential “uplift”—or net positive effect—such factors can have on older adults varies by country, according to a survey by senior partners Hemant Ahlawat and Viktor Hediger and coauthors. In Japan, for example, exercising has significant potential for improving the perceived health of aging residents, while being a respected part of a community has high potential for South Koreans. Click through the interactive to see more.