This paper studies the rural development impacts of a road subsidy -- part of China'smassive 2009-10 Economic Stimulus Plan (ESP) -- that led to the sudden and unexpected abandonment of the local cost share requirement typically imposed on villages by upper-levels of government. Relying on a...

This paper assesses the impact of financial turmoil on carbon markets. For the assessment, we offer the price correlation model between financial and carbon assets using the price-volume relationship. In particular, the carbon trading behavior aligned with security trading is incorporated into...

Using a stress test framework, this paper examines what impact climate policy shocks might have on the Korean financial system. The results show that transition risks, the risks associated with low-carbon transition plans, have a negative impact on the economy and on the financial system over...

Incentivizing businesses to lower carbon emissions and trade back excess carbon allowances paved the way for rapid growth in carbon credit ETFs. The use of carbon allowances as a hedging alternative fueled this rally further, causing a shift to speculation and forming repetitive bubbles....