This study employs bilateral data on external assets to examine the impact of climate policies on the reallocation of … international capital. We find that the stringency of climate policy in the destination country is significantly and positively …

In this paper I investigate the relationship between the local political climate and regional heterogeneity in the … increases the probability to be invested in the market by 10%. Consistent with the theory of political conservatism, in regions … climate has significant impact on the home bias of individual investors. My results provide evidence that political values …

Climate change is a quintessential market failure. Individual companies do not have economic incentives to reduce their … carbon emissions and therefore produce more emissions than is socially desirable. However, according to a theory that is …) can become “climate stewards” and force companies to reduce their impact on climate change. This view is based on the …

This paper studies a novel channel through which climate risks affect households’ portfolio choices: a stringent … climate change regulation elevates labor income risk for households employed by high-emission industries which in turn … discourages households' financial risk-taking. Using staggered adoptions of climate change action plans across states, we find …