This chapter considers the opportunities and challenges for an effective ‘Green New Deal’ (GND), with a focus on the U.S. and Europe. We begin by reviewing the intellectual history of the GND and consider how the recent shifts in macroeconomic policy following the Covid-19 pandemic might...

Climate change has profound effects not only for societies and economies, but also for central banks’ ability to deliver price stability in the future. This paper starts by documenting why climate change matters for monetary policy: it impacts the economic variables relevant to setting the...

This paper analyses the implications of climate change for the conduct of monetary policy in the euro area. It first investigates macroeconomic and financial risks stemming from climate change and from policies aimed at climate mitigation and adaptation, as well as the regulatory and fiscal...