Climate Change

The recent, blustery movements in oil prices in response to the United States’ war with Iran illustrate the financial market’s agile ability to reprice for a predicted future market. Yet, a decade after 195 nations adopted the Paris Agreement to transition away from fossil fuels, the market has made no changes in response. Part of this may be due to investors’ expectations of a delayed rollout, but the inertia is also due to flawed market design in which laws of fiduciary duty prevent funds from providing investors with vehicles that can make true bets on how soon the world will retire fossil fuels, writes Michael A. Santoro.

In new research, Pinelopi Goldberg and Michele Ruta analyze how today’s structural, policy, and geopolitical trade conditions are no longer conducive to the trade-led growth miracles many developing countries experienced in the past.

How can investors use capital markets to encourage emissions reductions? In new research, Matthew E. Kahn, John G. Matsusaka, and Chong Shu examine whether public pension funds are more effective in mitigating pollution when they divest from fossil fuel companies or actively engage their management.

Industrial policy was once so out of fashion that it was jokingly called “the policy that shall not be named.” Now it’s back in...

Farmers in low-income countries have multiple channels through which they respond to climate change. Some switch to growing more heat-resilient crops or crops that...

The looming ecological disaster means that it is time for competition researchers, policymakers, lawyers, and economists to devise competition policies that focus on the...

Can sustainability play a role in antitrust enforcement? And should it? Lund University professor Julian Nowag explores the debate around that intersection of sustainability,...

According to a theory that is gaining support among academics and practitioners, we should expect index fund managers to undertake the role of “climate...

Robert Kaplan and Karthik Ramanna propose a new approach for verifiable accounting on indirect corporate emissions that would apply to all corporations, increase incentives...

In his book Unsettled: What Climate Science Tells Us, What It Doesn’t, and Why It Matters, Steven Koonin explores misconceptions and shortcomings in the media's...