Advanced seminar in Economics - Glenn Rudebusch (Brookings Institution, Hutchins Center on Fiscal & Monetary Policy)

Green Stocks and Monetary Policy Shocks: Evidence from Europe

Mercredi 20 novembre 2024 - 11h00 à 12h30 - Grand public

Extranef 109



For any issue regarding the zoom link please contact oliver.surbek@unil.ch

Policymakers and analysts worry that the capital-intensive investments required for a green transition may be curtailed by higher global interest rates and an increased cost of credit. To examine the claim that green technologies and investments are especially sensitive to interest rate increases, we consider the effect of higher interest rates and unanticipated monetary policy changes on the equity prices of green and brown European firms. We find that in fact brown firms, measured either with CO₂ emission levels or intensities, are affected more negatively than green firms by tighter monetary policy and higher interest rates. Higher interest rates may not skew investment away from a sustainable transition.

Publié du 19 août 2024 au 21 novembre 2024
Jean-Paul Renne
Visibilité:
archivée