Project description
How bankers can help fight climate change
Can monetary policy target climate change mitigation? The debate is ongoing. To answer the question, the Marie Skłodowska-Curie Actions GREENQE project will investigate how large a carbon emission and temperature reduction can be achieved by shifting the portfolio of central banks around the world towards green assets. The project will use a rich integrated assessment model with incomplete markets and aggregate risk, featuring a green and brown sector of production, asset markets, and fiscal and monetary authorities to quantify costs and benefits. The results of the project will be useful for all stakeholders, particularly central banks and governments.
Objective
"The United Nations Sustainable Development Goal 13 calls to ""Take urgent action to combat climate change and its impacts"" by 2030. This call to take action also reached central banks: A controversial debate of whether monetary policy shall target climate change mitigation is ongoing. This addresses also the use of titling the asset purchase programs towards green assets (green quantitative easing, green QE). GREENQE contributes to this discussion, by investigating how large of a carbon emission and temperature reduction could be achieved by tilting the corporate asset portfolio of central banks around the world towards green assets. Benefits from slowing down climate change are contrasted with costs from possible impediments to the monetary transmission channels.
These costs and benefits are quantified using a rich integrated assessment model with incomplete markets and aggregate risk, featuring a green and brown sector of production, asset markets and fiscal and monetary authorities. This allows to evaluate the trade-offs of greening central banks' asset purchases (climate change mitigation vs. impeding monetary transmission mechanisms) as well as to investigate whether a monetary policy focused on the business cycle horizon can be used effectively to address a slow-moving climate change process.
The results of GREENQE are of interest to various stakeholders, including foremost central banks as well as governments. If green QE is found to be an effective and not-costly tool it might be used to complement green fiscal policies of national governments and supranationals like the EU commission."
Fields of science (EuroSciVoc)
CORDIS classifies projects with EuroSciVoc, a multilingual taxonomy of fields of science, through a semi-automatic process based on NLP techniques. See: https://op.europa.eu/en/web/eu-vocabularies/euroscivoc.
CORDIS classifies projects with EuroSciVoc, a multilingual taxonomy of fields of science, through a semi-automatic process based on NLP techniques. See: https://op.europa.eu/en/web/eu-vocabularies/euroscivoc.
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Keywords
Project’s keywords as indicated by the project coordinator. Not to be confused with the EuroSciVoc taxonomy (Fields of science)
Project’s keywords as indicated by the project coordinator. Not to be confused with the EuroSciVoc taxonomy (Fields of science)
Programme(s)
Multi-annual funding programmes that define the EU’s priorities for research and innovation.
Multi-annual funding programmes that define the EU’s priorities for research and innovation.
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HORIZON.1.2 - Marie Skłodowska-Curie Actions (MSCA)
MAIN PROGRAMME
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Topic(s)
Calls for proposals are divided into topics. A topic defines a specific subject or area for which applicants can submit proposals. The description of a topic comprises its specific scope and the expected impact of the funded project.
Calls for proposals are divided into topics. A topic defines a specific subject or area for which applicants can submit proposals. The description of a topic comprises its specific scope and the expected impact of the funded project.
Funding Scheme
Funding scheme (or “Type of Action”) inside a programme with common features. It specifies: the scope of what is funded; the reimbursement rate; specific evaluation criteria to qualify for funding; and the use of simplified forms of costs like lump sums.
Funding scheme (or “Type of Action”) inside a programme with common features. It specifies: the scope of what is funded; the reimbursement rate; specific evaluation criteria to qualify for funding; and the use of simplified forms of costs like lump sums.
HORIZON-TMA-MSCA-PF-EF - HORIZON TMA MSCA Postdoctoral Fellowships - European Fellowships
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Call for proposal
Procedure for inviting applicants to submit project proposals, with the aim of receiving EU funding.
Procedure for inviting applicants to submit project proposals, with the aim of receiving EU funding.
(opens in new window) HORIZON-MSCA-2021-PF-01
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Net EU financial contribution. The sum of money that the participant receives, deducted by the EU contribution to its linked third party. It considers the distribution of the EU financial contribution between direct beneficiaries of the project and other types of participants, like third-party participants.
1012WX Amsterdam
Netherlands
The total costs incurred by this organisation to participate in the project, including direct and indirect costs. This amount is a subset of the overall project budget.