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