How piecemeal carbon pricing affects cross-border lending
Banks with domestic carbon-pricing schemes do more dirty lending abroad
IN JUNE THE IMF made the latest of many calls from economists for a market-oriented policy to tackle climate change. “Carbon pricing...is the least-cost option to deliver deep emission cuts,” it argued in a paper written ahead of a meeting of the leaders of the G20 group of large economies. Carbon taxes, as this newspaper has long argued, can be a powerful way to force polluters to pay for the harm they do to the environment by burning fossil fuels.
This article appeared in the Finance & economics section of the print edition under the headline “Squeezing the balloon”
Finance & economics December 4th 2021
- China’s economy looks especially vulnerable to the spread of Omicron
- Three threats to growth in emerging markets
- How piecemeal carbon pricing affects cross-border lending
- India inches towards inclusion in big bond indices
- Have SPACs been cleaned up?
- Managing the world’s biggest sovereign-wealth fund is about to get complicated
- The explosion in stablecoins revives a debate around “free banking”
From the December 4th 2021 edition
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