Since the deregulation of electricity markets in the 1990s, U.S. power grids have witnessed the creation of an increasingly diverse suite of financial instruments designed to mitigate risks caused by underlying generation and consumption patterns. However, the nature of risks is shifting rapidly...

Physical climate risks significantly influence banks' collateral practices. Drawing on comprehensive loan-level data from Sweden, we find that adverse weather events increase both the likelihood and the amount of collateral required for new loans. For existing loans, banks are less inclined to...

Directed acyclic graphs (DAGs) provide a transparent framework for encoding causal structures and identifying causal effects. This paper demonstrates how DAGs help specify local projections (LPs) for estimating causal impulse responses. Examples illustrate how graphical rules can be used to...

Safety and Security, risk and resilience represent important factors for a successful festival. The paper describes the role of safety and the challenges which are derived from it. The role and responsibilies of the different stakeholders are briefly described before discussing risk and its...

Great efforts in biotechnology are being made to reduce the use of fossil fuels and to drive a transition toward a bioeconomy. However, these early-stage technical concepts also carry sustainability risks at ecological, social and economic levels due to large-scale biomass flows when scaled to...

This Policy Brief examines economic experts' expectations about the macroeconomic effects of import tariffs and trade policy uncertainty, based on the 2025Q2 and 2025Q3 waves of the Economic Expert Survey (EES). The survey collected responses from over 600 economists across EU member states and...

The discussion around globalization often overlooks historical context and real-world dynamics, especially in the context of global development. This study examines the relationship between information and communication technology (ICT), geopolitical risks (GPR), and globalization in Pakistan...

This study investigates the asymmetric responses of AI and ESG Exchange Traded Funds (ETFs) to geopolitical and financial uncertainty, with a focus on resilience across market regimes. The NASDAQ-100 and MSCI ESG Leaders indices are used as proxies for thematic ETFs, and their dynamic...

This study examines volatility spillovers among climate-policy-relevant sectors in the Chinese stock market across both time and frequency domains. It further explores the impact of climate policy uncertainty on the risk spillover effect in the Chinese stock market and its underlying mechanisms....

This paper proposes a new framework for measuring systemic financial risk, which combines the Diebold and Yilmaz spillover index model, complex network, and dimensionality reduction method. This framework simulates the process of risk contagion through network dynamics, accounting for the...

This study examines the use of Filtered Historical Simulation (FHS) to estimate tail risk in cryptocurrency markets for the optimization of robustness in this area under model misspecification. An ARMA-GARCH model is employed on the daily returns on Binance Coin and Litecoin in order to compare...

Conventional risk assessment frameworks usually define risk as a function of vulnerabilities and threats, but they frequently lack a single quantitative model that incorporates the unique features of each element. In order to close this gap, this paper creates a flexible, open, and theoretically...

The COVID-19 pandemic has caused market turmoil and economic distress. To understand the effect of the pandemic on the U.S. financial systemic risk, we analyze the explanatory power of detailed COVID-19 data on three market-based systemic risk measures (SRMs): Conditional Value at Risk, Distress...

In the dual risk model, while the ultimate ruin probability has an exact and straightforward formula, the mathematics becomes significantly more complex when considering a finite time horizon, and the literature on this topic is scarce. As a result, there is a need for numerical approximations....

This study examined the factor structure of Green, Grey, and Red EU securities using extended asset pricing models built on the Fama–French and Carhart frameworks. The findings show improved return predictability and consistently negative risk-adjusted alpha across categories post-Global...

Digitalization is reshaping entrepreneurship, yet the mechanisms that translate new technological possibilities into entrepreneurial intention remain poorly understood, especially for resource-constrained small and medium-sized enterprises (SMEs). Building on the Theory of Planned Behaviour,...

Achieving a net-zero energy system in Europe by 2050 will likely require large-scale deployment of hydrogen and seasonal energy storage to manage variability in renewable supply and demand. This study addresses two key objectives: (1) to develop a modeling framework that integrates seasonal...

In this paper, we propose a novel optimization model for portfolio selection that integrates the classical mean-variance criterion with a second-order Tsallis entropy term. This approach enables a trade-off between expected return, risk, and diversification, extending Markowitz's theory to...

This study investigates the nonlinear and regime-dependent relationship between climate policy uncertainty (CPU) and sovereign credit default swap (CDS) spreads across a panel of developed and emerging economies from February 2010 to March 2025. Utilizing the Quantile-on-Quantile Regression...

This study aims to explore how a firm's exposure to economic policy uncertainty (EPU) affects the use of fair value (FV) measurement for non-financial assets.The analysis focuses on the selection of FV models for different types of non-financial assets. It examines how internal factors and...