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Greenwashing

📈 Economics By CampusDown Wiki Editorial Team Last updated
Greenwashing is presenting products or companies as more environmentally friendly than they are.
Contents
  1. 1. Overview
  2. 2. Frequently asked questions
  3. 3. References

Overview

Greenwashing exaggerates or fabricates environmental performance; the term is credited to Jay Westerveld (1986). TerraChoice’s seven sins include hidden trade-offs, no proof, vagueness, irrelevance, lesser of two evils, fibbing and false labels. Typical cases are unsupported “carbon neutral” or “100% eco” labels and offset-only net-zero claims. Korea’s Environmental Technology and Industry Support Act bans false or exaggerated environmental labelling, and the Fair Trade Commission polices misleading ads; the EU’s Directive 2024/825 restricts generic green claims and offset-based neutrality claims. Check for specifics, recognised labels and third-party verification. See ESG management.

Frequently asked questions

Is “eco-friendly” alone greenwashing?
Vague, unsupported claims can be deemed misleading.

References

  1. TerraChoice. (2010). The Sins of Greenwashing: Home and Family Edition.
  2. Delmas, M. A., & Burbano, V. C. (2011). The drivers of greenwashing. California Management Review, 54(1), 64–87.
  3. 「환경기술 및 환경산업 지원법」(환경성 표시·광고 관련 규정), 「표시·광고의 공정화에 관한 법률」. 국가법령정보센터.
  4. Directive (EU) 2024/825 on empowering consumers for the green transition.

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This article was last updated on October 24, 2026. It is based on widely recognized original works and textbooks; when citing it in a paper, please check the original sources listed in the references.