This week the COP27 climate summit is being held in Egypt. There will be talk about greenhouse gases, global warming and climate change. Interesting themes are, for example, the idea that rich countries should pay compensation to poor countries for the damage their production and consumption causes to the environment and the disasters this leads to in poor countries. Think of it as the Chinese factory, or South African power station, or American consumer in his oversized SUV that has to pay for the flood damage in Bangladesh.

* The Economics Minute is supported by the NWU Business School.