Related papers: Sovereign Debt Default and Climate Risk
In this paper we investigate the causal impact of the European Union Emissions Trading System, a cap-and-trade scheme limiting greenhouse gas emissions of firms, on their environmental performance. Although previous studies have focused…
The temperature targets in the Paris Agreement cannot be met without very rapid reduction of greenhouse gas emissions and removal of carbon dioxide from the atmosphere. The latter requires large, perhaps prohibitively large subsidies. The…
This paper studies how household heterogeneity affects the level and cyclical behavior of the optimal carbon tax in a real economy. We demonstrate that an equity-efficiency trade-off arises due to income inequality and heterogeneity in the…
The effectiveness of fiscal policy to influence vehicle purchases for emissions reductions in private passenger road transport depends on its ability to incentivise consumers to make choices oriented towards lower emissions vehicles.…
Credit risk prediction is an effective way of evaluating whether a potential borrower will repay a loan, particularly in peer-to-peer lending where class imbalance problems are prevalent. However, few credit risk prediction models for…
This paper analyses the impact of credit expansions arising from decreases in collateral requirements or more expansionary monetary policies on long-term productivity in a model with endogenous growth. Credit expansions associated with…
Global climate warming and air pollution pose severe threats to economic development and public safety, presenting significant challenges to sustainable development worldwide. Corporations, as key players in resource utilization and…
Climate physical risks pose an increasing threat to urban infrastructure, necessitating urgent climate adaptation measures to protect lives and assets. Implementing such measures, including the development of resilient infrastructure and…
Climate change poses substantial risks to the global economy. Kotz, Levermann and Wenz (Nature, 2024) statistically analyzed economic and climate data, finding significant projected damages until mid-century and a divergence in outcomes…
The purpose of this paper is to investigate if a country quality of governance moderates the effect of natural disasters on startup activity within that country. We test our hypotheses using a panel of 95 countries from 2006 to 2016. Our…
To assess the impact of potential future climate pledges after the first Global Stocktake, we propose a simple, transparent framework for developing emission and temperature scenarios by country. We show that current pledges with…
Climate change is the long-term shift in global weather patterns, largely caused by anthropogenic activity of greenhouse gas emissions. Global climate temperatures have unmistakably risen and naturally occurring climate variability alone…
We present a limits-to-arbitrage model to study the impact of securitization, leverage and credit risk protection on the cyclicity of bank credit. In a stable bank credit situation, no cycles of credit expansion or contraction appear.…
The United States has long pursued regulations that aim to reduce fossil fuel use. However, while potential emission reduction motivates the introduction and enforcement of these regulations, realization of this potential does not obfuscate…
Alignment of financial market incentives and carbon emissions disincentives is key to limiting global warming. Regulators and standards bodies have made a start by requiring some carbon-related disclosures and proposing others. Here we go…
The relationship between inequality and the biosphere has been hypothesized to mutual dependecies and feedbacks. If that is true, such feedbacks may give rise to inequality regimes and potential tipping points between them. Here we explore…
The transition from a fossil-based energy economy to one based on renewable energy is driven by the double challenge of climate change and resource depletion. Building a renewable energy infrastructure requires an upfront energy investment…
Free-riding is widely perceived as a key obstacle for effective climate policy. In the game-theoretic literature on non-cooperative climate policy and on climate cooperation, the free-rider hypothesis is ubiquitous. Yet, the free-rider…
Increasing urbanization puts pressure on cities to prioritize sustainable growth and avoid carbon lock-in. Available modeling frameworks fall acutely of guiding such pivotal decision-making at the local level. Financial incentives,…
The literature on the relationship between environmental factors such as climatic changes and natural hazards and human mobility (both internal and international) is characterized by heterogeneous results: some contributions highlight the…