Special Issue of the Journal of Financial Stability on “Macro-financial implications of climate change and environmental degradation”

Scheduled ical Google outlook Open Call For Papers

CfP Deadline:

March 1, 2025

Organizer(s):

Journal of Financial Stability

Guest Editors:

Roberto R. Schaeffer (Federal University of Rio de Janeiro)
Juan Esteban Carranza (Bank of the Republic of Columbia)
Jon Frost (Bank for International Settlements Representative Office for the Americas)
Margarita Gafaro (Bank of the Republic of Columbia)
Benoit Mojon (Bank for International Settlements)

Description:

How could climate change and environmental degradation impact macro-financial outcomes, such as growth, inflation and the functioning of the financial system? This question is increasingly important, but there is so far insufficient research to provide satisfactory answers. This special issue aims to collect cutting-edge contributions that will push the frontier of research and help inform central banks and other policy makers.

Climate change and environmental degradation might impact growth and inflation in economies around the world. This is likely to intensify as the physical risks of climate change become more apparent. Meanwhile, the green transition is likely to bring a wave of new opportunities and challenges, including so-called transition risks. The impact of physical and transition risks on output, prices, external positions and on the financial sector is highly uncertain, but potentially far-reaching. In this context, rigorous research is needed to better understand the macro-financial implications of climate change and environmental degradation.

This special issue aims to publish original contributions delving into both physical and transition risks of climate change, and broader impacts of environmental degradation on the economy and financial system. We welcome research based on a wide spectrum of approaches, including financial and macro econometrics, network models, microeconometrics and dynamic macroeconomic models. Key areas of interest include, but are not limited to:

  • Effects of physical risks and natural disasters on economic activity
  • Effects of physical risks and natural disasters on financial institutions and markets
  • The interaction of investment and environmental policies
  • Climate stress testing for the financial sector
  • Impact of climate change or mitigation policies on prices and implications for monetary policy
  • Exposures of the financial sector to transition risks
  • The transmission of climate-related risks through the economy and across borders
  • The macro-financial impact of biodiversity loss, water scarcity and other environmental risks

Submission:

Authors should submit their paper by March 1st, 2025, via the Journal’s online submission site https://www2.cloud.editorialmanager.com/jfs/default2.aspx

When submitting, authors should select the article type “VSI: CCAclimate”.