January 23, 2020 — Everyone agrees that Climate Change is at the top of the list of most important policy issues that we face – everyone, with a few exceptions such as Trump supporters who call it a hoax. Identifying the problem, however, is not much use unless we also identify the appropriate tools to address the problem.
In my own field of specialization, central bankers have caught Climate Change fever. Perhaps the first was Governor Mark Carney — recently departed from the Bank of England. Christine Lagarde – newly arrived at the ECB from the International Monetary Fund — has declared the global environment to be “mission critical” for her institutions.