Research Archive

Damaged properties in Ortley Beach, New Jersey, following Hurricane Sandy.

Research| October 10, 2024

Acute Physical Impacts From Climate Change and Monetary Policy

Regulators are struggling to model the escalating impact climate is having on prices. This NGFS framework offers central banks tools needed to begin addressing this gap.

Published by Network for Greening the Financial System

A diver swims among tall fronds of kelp as sunlight streams down from the surface

Research| August 7, 2024

Inflation as an Ecological Phenomenon

In a changing ecological and economic landscape, central banks must support the green transition and adapt inflation models to prevent persistent price instability.

Published by Positive Money

Two men work beneath a ground-mounted solar panel surrounded by brown hills in Afghanistan

Research| July 30, 2024

Green Monetary Policy to Combat Climate Change

Theory and Evidence of Selective Credit Control

Climate change threatens price stability, this paper explains how a green monetary framework, including selective credit controls, can reduce emissions and protect prices.

Published by Journal of Climate Finance

Research| June 25, 2024

From Financial Stability to Price Stability in Sustainable Central Banking

Climate change is driving price instability and central banks like the Federal Reserve should include climate in their price stability and inflation work, climate economists say. …

Published by Just Money

An view from orbit of snow-covered mountains and clouds

Research| April 30, 2024

Climate-Conscious Monetary Policy

Delaying carbon taxes creates tension between price stability and climate goals, but green QE can reduce trade-offs, says this Banco de España paper.

Published by Banco de España

Road sign saying 'Electric vehicle charging only'

Research| April 30, 2024

The Green Transition and Inflation in the Euro Area

European central banks can support net zero without derailing price stability as higher carbon prices will have only a modest inflationary impact, says the IMF.

Published by International Monetary Fund

A stretch of cracked, dry earth seen from a low angle. The blazing sun hangs low in the sky and a small shrub sits near the horizon.

Research| April 18, 2024

Global Warming and Heat Extremes to Enhance Inflationary Pressures

Climate change may increase global inflation in nonlinear, persistent and varied ways, jeopardising price stability, say ECB and climate scientists.

Published by Communications Earth & Environment

Research| March 26, 2024

Climate Actions, Market Beliefs and Monetary Policy

Irrational market players wrongly perceive climate policy as a temporary shock and overlook the structural change it represents, with adverse impacts on prices and inflation.

Published by Journal of Economic Behavior and Organization

Research| January 25, 2024

Using Short-Term Scenarios to Assess the Macroeconomic Impacts of Climate Transition

An earlier and more gradual shift to net zero will result in lower macroeconomic risks, according to results from scenarios released by Banque de France.

Published by Banque de France

Research| October 12, 2023

How Climate Change Affects Potential Output

Climate change and the actions taken to tackle it will cause structural changes to the economy with “profound effects” on potential output, says this ECB report.

Published by European Central Bank

A row of flagpoles bearing EU flags in front of a large office building.

Research| July 10, 2023

Structural Changes in Energy Markets and Price Implications

Effects of the Recent Energy Crisis and Perspectives of the Green Transition

The 2021-22 energy crisis was driven by record-breaking rises in wholesale gas prices and this paper discusses lessons that financial regulators can learn regarding price implications of the transition.