Description: To fight climate change, governments the world over would be well inspired to develop the breadth and depth of their stock markets. Stock markets seem more efficient than banks at financing the massive investments that will be needed to meet international climate goals. This surprising finding from two European Central Bank economists could have profound policy implications if indeed equity, not credit, is the best tool in the fight against global warming.
Date: Nov 29, 2019
Questions for discussion:
- What does the article say about the connection between climate change and finance?
- What are the reasons?
- How else can finance help accelerate the transition to a “cleaner” economy?