Central banks see climate risk as potential financial instability risk and therefore as coming under their financial stability mandate. a. Explain how climate risk can cause financial instability according to central banks. b. Discuss whether central banks can be successful in preventing climate risk related financial instability when financialisation dominates corporate behaviour and can cause green bubbles in financial markets. You should answer the questions above in maximum 750 words by using the insights from the following course readings. The first three readings relate to the Question 1.a and the remaining three readings relate to the Question 1.b. 1. Borio et al. (2022) \u201cFinance and climate change risk: managing expectations\u201d, https:\/\/www.bis.org\/speeches\/sp220607.pdf 2. NGFS (2019) A call for action: Climate change as a source of financial risk, (pages 4-19 only) https:\/\/www.ngfs.net\/sites\/default\/files\/medias\/documents\/ngfs_first_comprehensive_report_-_17042019_0.pdf 3. Nauman, B. (2021) \u201c\u2019Green bubble\u2019 warnings grow as money pours into renewable stocks\u201d, https:\/\/www.ft.com\/content\/0a3d0af8-7092-44c3-9c98-a513a22629be 4. Christophers, B. (2017) \u201cClimate Change and Financial Instability: Risk Disclosure and the Problematics of Neoliberal Governance\u201d, Annals of the American Association of Geographers, 107(5), pp. 1108-1127 5. Ert\u00fcrk, I. (2020) \u201cShareholder Primacy and Corporate Financialization\u201d in Mader P., Mertens, D. and van der Zwan, N. (2020) International Handbook of Financialization, Routledge, Oxon, London 6. Ert\u00fcrk, I. (2024) \u201cMoney and Green Economy: financialised solutions to the environmental problems\u201d in Jager, J. and Dziwok, E. (2024) Understanding green finance: a critical assessment, Edward Elgar Publishing.<\/p>\n","protected":false},"excerpt":{"rendered":"
Central banks see climate risk as potential financial instability risk and therefore as coming under their financial stability mandate. a. Explain how climate risk can cause financial instability according to central banks. b. Discuss whether central banks can be successful in preventing climate risk related financial instability when financialisation dominates corporate behaviour and can cause […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"closed","template":"","meta":[],"disciplines":[9],"paper_types":[],"tagged":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.writemyessays.app\/blog\/wp-json\/wp\/v2\/questions\/41926"}],"collection":[{"href":"https:\/\/www.writemyessays.app\/blog\/wp-json\/wp\/v2\/questions"}],"about":[{"href":"https:\/\/www.writemyessays.app\/blog\/wp-json\/wp\/v2\/types\/questions"}],"author":[{"embeddable":true,"href":"https:\/\/www.writemyessays.app\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.writemyessays.app\/blog\/wp-json\/wp\/v2\/comments?post=41926"}],"version-history":[{"count":0,"href":"https:\/\/www.writemyessays.app\/blog\/wp-json\/wp\/v2\/questions\/41926\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.writemyessays.app\/blog\/wp-json\/wp\/v2\/media?parent=41926"}],"wp:term":[{"taxonomy":"disciplines","embeddable":true,"href":"https:\/\/www.writemyessays.app\/blog\/wp-json\/wp\/v2\/disciplines?post=41926"},{"taxonomy":"paper_types","embeddable":true,"href":"https:\/\/www.writemyessays.app\/blog\/wp-json\/wp\/v2\/paper_types?post=41926"},{"taxonomy":"tagged","embeddable":true,"href":"https:\/\/www.writemyessays.app\/blog\/wp-json\/wp\/v2\/tagged?post=41926"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}