Green Monetary Policy.pdf

How_unconventional_is_green_monetary_policy.pdf
Preview of Green Monetary Policy
🔗 Source: web.stanford.edu
📊 Size: 432 KB
📄 Pages: 55 pages
⬇️ Downloads: 80

Summary

It finds that the ECB's corporate bond portfolio is tilted towards high-emission sectors, and that market neutrality is not guaranteed by simple formulas. The paper proposes a definition of market neutrality and shows that a neutral program does not favor any firm over another. It also finds that some non-neutrality is desirable, and that the central bank can design bond portfolios to lower emissions. The optimal policy depends on the presence of an optimal carbon tax, and green monetary policy can improve welfare in its absence.

Description

It finds that the ECB's corporate bond portfolio is tilted towards high-emission sectors, and that market neutrality is not guaranteed by simple formulas.

Technical Information

  • File Format: PDF
  • File Size: 432 KB
  • Pages: 55
  • Language: EN
  • Total Downloads: 80
  • Last Updated: 7 days ago

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