substantial threats to financial and macroeconomic stability. We use a dynamic stochastic general equilibrium model with financial … frictions and climate policy to study the risks a low-carbon transition poses to financial stability and the different … effective stimulus without compromising the objective of price stability. Our results suggest that the involvement of central …

now even more supported in the dynamics of political discourses, because as it happened between the two World Wars and all … the events that led to the Second World War, liberal democracies are again showing the potential loopholes in their own …

financial risk and impact financial stability. This paper explores the specific features of climate-related financial risks … transition to a low-carbon economy, both within the confines and in fulfilment of their price and financial stability mandates …

financial crisis probability substantially. However, carbon taxes improve long-run financial stability since permanently lower … asset returns reduce the buildup of excessive leverage. Quantitatively, we find that the net financial stability effect of …