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Green money without inflation

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  2. Economics, Finance, Business & Management
  3. Vierteljahrshefte zur Wirtschaftsforschung
  4. Vol. 88, Issue 2
  5. pp. 51–54

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Grauwe, P. Green money without inflation. Vierteljahrshefte zur Wirtschaftsforschung, 88(2), 51-54. https://doi.org/10.3790/vjh.88.2.51
Grauwe, Paul De "Green money without inflation" Vierteljahrshefte zur Wirtschaftsforschung 88.2, , 51-54. https://doi.org/10.3790/vjh.88.2.51
Grauwe, Paul De: Green money without inflation, in: Vierteljahrshefte zur Wirtschaftsforschung, vol. 88, iss. 2, 51-54, [online] https://doi.org/10.3790/vjh.88.2.51
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Green money without inflation

Grauwe, Paul De

Vierteljahrshefte zur Wirtschaftsforschung, Vol. 88(2019), Iss. 2 : pp. 51–54

25 Citations (CrossRef)

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Article Details

Publisher Name
Duncker & Humblot
DOI
https://doi.org/10.3790/vjh.88.2.51
Language
English
Pages
4
Keywords

Author Details

Paul De Grauwe, London School of Economics, P.C.De-Grauwe@lse.ac.uk

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  3. Three tales of central banking and financial supervision for the ecological transition

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    https://doi.org/10.1002/wcc.876 [Citations: 4]

  4. Handbook of Philosophy of Climate Change

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  5. Financing our Anthropocene

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  6. Monetary and macroprudential policies: How to Be green? A political-economy approach

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  7. Great Green Transition and Finance

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    Intereconomics, Vol. 55(2020), Iss. 3 P.181

    https://doi.org/10.1007/s10272-020-0896-y [Citations: 36]

  8. The European Central Bank – A Review Essay by Martina Metzger

    Vierteljahrshefte zur Wirtschaftsforschung, Vol. 90(2021), Iss. 1 P.143

    https://doi.org/10.3790/vjh.90.1.143 [Citations: 0]

  9. Fossil Fuels in the European Union

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    https://doi.org/10.1007/978-3-031-56790-2_11 [Citations: 0]

  10. Handbook of the Philosophy of Climate Change

    Central Banks and Climate Justice: The Case for Green Quantitative Easing

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    https://doi.org/10.1007/978-3-031-07002-0_126 [Citations: 0]

  11. Distributive Justice, Political Legitimacy, and Independent Central Banks

    Ferret Mas, Josep

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    https://doi.org/10.1007/s11158-023-09619-x [Citations: 0]

  12. Central banks, climate risks, and energy transition—a dynamic macro model and econometric evidence

    Braga, Joao Paulo | Chen, Pu | Semmler, Willi

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    https://doi.org/10.1017/S1365100525000069 [Citations: 0]

  13. The potential contribution of central banks to green finance

    Breitenfellner, Andreas | Pointner, Wolfgang | Schuberth, Helene

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  14. Whatever it takes to save the planet? Central banks and unconventional green policy

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  15. Die Finanzierung unserer Zukunft

    Jenseits des Mantras der traditionellen Finanzierung: Bedeutung und Grenzen des konventionellen Ansatzes

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  17. Sustainable Macroeconomics, Climate Risks and Energy Transitions

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    Nyambuu, Unurjargal | Semmler, Willi

    2023

    https://doi.org/10.1007/978-3-031-27982-9_11 [Citations: 0]

  18. Les banques centrales au défi de la transition écologique

    Scialom, Laurence

    Revue économique, Vol. Vol. 73(2022), Iss. 2 P.219

    https://doi.org/10.3917/reco.732.0219 [Citations: 3]

  19. Monetary architecture and the Green Transition

    Murau, Steffen | Haas, Armin | Guter-Sandu, Andrei

    Environment and Planning A: Economy and Space, Vol. 56(2024), Iss. 2 P.382

    https://doi.org/10.1177/0308518X231197296 [Citations: 8]

  20. Central Banks and Climate Policy: Unpleasant Trade–Offs? A Principal–Agent Approach

    Masciandaro, Donato | Russo, Riccardo

    SSRN Electronic Journal , Vol. (2022), Iss.

    https://doi.org/10.2139/ssrn.4139124 [Citations: 0]

  21. Can renewable energy mitigate the impacts of inflation and policy interest on climate change?

    Akan, Taner

    Renewable Energy, Vol. 214(2023), Iss. P.255

    https://doi.org/10.1016/j.renene.2023.05.023 [Citations: 21]

  22. Financing Our Future

    Beyond the Mantra of Traditional Finance: Significance and Limits of the Conventional Approach

    Brunnhuber, Stefan

    2021

    https://doi.org/10.1007/978-3-030-64826-8_2 [Citations: 1]

  23. Greener and cheaper: green monetary policy in the era of inflation and high interest rates

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    Eurasian Economic Review, Vol. 14(2024), Iss. 1 P.39

    https://doi.org/10.1007/s40822-024-00266-y [Citations: 11]

  24. The effects of a green monetary policy on firms financing cost

    Bacchiocchi, Andrea | Ille, Sebastian | Giombini, Germana

    Journal of Economic Interaction and Coordination, Vol. 19(2024), Iss. 4 P.727

    https://doi.org/10.1007/s11403-023-00400-0 [Citations: 0]

  25. De-risking of green investments through a green bond market – Empirics and a dynamic model

    Braga, Joao Paulo | Semmler, Willi | Grass, Dieter

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    https://doi.org/10.1016/j.jedc.2021.104201 [Citations: 46]

References

  1. Galbraith, J., (2019): Financing the Green New Deal in Europe, Social Europe, February, https://www.socialeurope.eu/financing-the-green-new-deal.  Google Scholar
  2. Gross, M., P. Loungani, and W. Semmler (2019): Unconventional Monetary Policy in a Non-linear Quadratic Model, unpublished, International Monetary Fund and New School of Social Research.  Google Scholar
  3. Jourdan, S., and W. Kalinowski (2019): Aligning Monetary Policy with the EU’s Climate Targets, Veblen Institute for Economic Reforms, Positive Money Europe, April.  Google Scholar
  4. Piketty, T. (2018): Manifeste pour la Démocratisation de l’Europe, Un Budget pour l’Europe, http://tdem.eu/le-budget/.  Google Scholar
  5. Varoufakis, Y. (2018): Our plan to revive Europe can succeed, in The Guardian, https://www.theguardian.com/commentisfree/2018/dec/13/plan-europe-macron-piketty-green-new-deal-britain.  Google Scholar

Abstract

Summary: The ECB has announced that when government and corporate bonds come to maturity in the context of its QE-program, new bonds will be bought in the market so as to keep the money stock (money base) unchanged. This creates a “window of opportunities” for the ECB. It could replace the old bonds with new “environmental bonds”, i. e. bonds that have been issued to finance environmental projects. In doing so, the ECB would not create new money. Given the existential nature of the degradation of the environment, including climate change, the priority should be to use the ECB’s money creation capacity towards the support of environmental investments. This can be done without creating inflation.

Table of Contents

Section Title Page Action Price
Paul de Grauwe: Green money without inflation 51
Summary 51
Zusammenfassung 51
References 54

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