Macroeconomic theory and policy are strongly based on the assumption that economic growth is a fundamental goal. The environmental realities of the twenty- first century compel a reassessment of macro theory in terms of the impact of current growth patterns on planetary ecosystems. This paper...

The trend in mainstream economic thought about macroeconomic policy has been towards minimalism. In the optimistic Keynesian phase of the 1960's, it was assumed that both fiscal and monetary policy were effective tools for macroeconomic management. But the influence of monetarist and New...

The financial crisis of 2008 and its aftermath offer an opportunity to institute significant reform in economics teaching, starting at the introductory level. Mainstream macroeconomics texts still rely heavily on a classical assumption of a long-run full employment equilibrium, which underrates...

ET Index Research has investigated the relationship between equity returns and carbon intensity. The results indicated that portfolios of low-carbon intensity stocks have outperformed portfolios of high-carbon intensity stocks, and that this outperformance is significant. This relationship is...

This report focuses on three key questions for responsible investors: 1. Does responsible investment lead to outperformance or underperformance? 2. Can responsible investing actually impact company behaviour? 3. What is the optimal way to allocate an investment portfolio in a responsible way?...

There are long-standing debates in the financial economics literature regarding long-run risks, return seasonality, the impact of weather and the impact of climate. By disentangling the data into different frequencies this paper contributes several results to these topics. I find significant...

I develop a model of capital markets with heterogeneous firms and investors and a public good. Investors with concern for the public good develop endogenous portfolio tilts. These tilts depend on the degree to which an investment counterfactually contributes to the public good, and the price...

This paper, produced by the Policy Department on Citizens' Rights and Constitutional Affairs, looks into the Commission proposal for a European Accessibility Act. It briefly describes its contents, the Council discussions on the proposal, its Impact Assessment and the main points of contention,...

This paper, produced by the Policy Department on Citizens' Rights and Constitutional Affairs, looks into the Commission proposal for a European Accessibility Act. It briefly describes its contents, the Council discussions on the proposal, its Impact Assessment and the main points of contention,...

I propose and develop a framework for the financial economic analysis of investing with altruistic preferences. A key part of the framework is the precise definition of different forms of impact and, in particular, investor impact. This has several practical implications including that investor...