Arbeitspapier
Toward a green economy: The role of central bank's asset purchases
We use a DSGE model to study the effectiveness of green-asset purchases by the central bank (Green QE), along the transition to a carbon-free economy driven by an emission tax, abstracting from price stability considerations. We find that Green QE helps to further reduce emissions, especially in the early stage of the transition. We find that a crucial parameter to determine the effectiveness of Green QE is the elasticity of substitution between the brown and the green good: the higher the elasticity the stronger the impact of the policy on emissions.
- ISBN
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978-92-899-5521-8
- Language
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Englisch
- Bibliographic citation
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Series: ECB Working Paper ; No. 2779
- Classification
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Wirtschaft
Monetary Policy
Central Banks and Their Policies
Climate; Natural Disasters and Their Management; Global Warming
- Subject
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Central Bank
Monetary Policy
Quantitative Easing
Climate Change
- Event
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Geistige Schöpfung
- (who)
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Ferrari, Alessandro
Nispi Landi, Valerio
- Event
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Veröffentlichung
- (who)
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European Central Bank (ECB)
- (where)
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Frankfurt a. M.
- (when)
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2023
- DOI
-
doi:10.2866/800604
- Handle
- Last update
-
10.03.2025, 11:44 AM CET
Data provider
This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Ferrari, Alessandro
- Nispi Landi, Valerio
- European Central Bank (ECB)
Time of origin
- 2023
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International Spillovers of Large-Scale Asset Purchases
The macroeconomic effects of asset purchases revisited
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The macroeconomic effects of asset purchases revisited
ECB asset purchases may affect wealth distribution
Toward the Green Economy: Assessing Countries' Green Power
The optimal conduct of central bank asset purchases
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What are the macroeconomic effects of asset purchases?