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Green Macro

What are the large-scale dynamic links between financial systems and the prospect of a circular economy? 

Our aim with Green Macro is to explore the role of the financial system in supporting the transition to a sustainable economy and, conversely, the potential implications of climate change and climate/energy policies on financial stability. Using a suite of numerical macroeconomic models, the project will: address the repercussions of having “stranded assets”; study the role of financial regulation in supporting the low-carbon transition; investigate the implications of a long-term decline in growth rates – a “secular stagnation” – on the achievement of a circular economy.

Green Macro Research Projects:

  • The modelling framework
  • Numerical calibration and simulation
  • Open-access analytical tool
  • Stranded assets and financial risk
  • Green financial regulation and monetary policies
  • The implications of secular stagnation 

For more information about Green Macro, please contact: E.Campiglio AT lse.ac.uk