Loading [MathJax]/jax/output/HTML-CSS/config.js
THIS IS THE DEV/TESTING WEBSITE IPv4: 3.145.92.183 IPv6: || Country by IP: GB
Close Search Advanced
Journals
Resources
About Us
Open Access
Journals
Resources
About Us
Open Access

Green money without inflation

Green money without inflation
Read Now
Download (PDF)

Year:    2019

Author:    Grauwe, Paul De

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

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.

Journal Article Details

Publisher Name:    Global Science Press

Language:    English

DOI:    https://doi.org/10.3790/vjh.88.2.51

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

Published online:    2019-04

AMS Subject Headings:    Duncker & Humblot, Duncker & Humblot

Copyright:    COPYRIGHT: © Global Science Press

Pages:    4

Keywords:    E52 E58 Q50 QE-program european central bank environmental bonds

Author Details

Grauwe, Paul De

  1. Die Finanzierung unserer Zukunft

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

    Brunnhuber, Stefan

    2023

    https://doi.org/10.1007/978-3-031-19625-6_2 [Citations: 0]

  2. Pandemic meltdown and economic recovery – A multi-phase dynamic model, empirics, and policy

    Semmler, Willi | Henry, Jérôme | Maurer, Helmut

    Research in Globalization, Vol. 6 (2023), Iss. P.100106

    https://doi.org/10.1016/j.resglo.2022.100106 [Citations: 3]
  4. Handbook of Philosophy of Climate Change

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

    Ferret Mas, Josep

    2023

    https://doi.org/10.1007/978-3-030-16960-2_126-1 [Citations: 0]
  5. Sustainable Macroeconomics, Climate Risks and Energy Transitions

    Climate Risks, Sustainable Finance, and Climate Policy

    Nyambuu, Unurjargal | Semmler, Willi

    2023

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

  6. 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: 1]
  7. Financing our Anthropocene

    Upgrading the System

    Brunnhuber, Stefan

    2023

    https://doi.org/10.1007/978-3-031-23285-5_6 [Citations: 0]

  8. 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]

  9. Great Green Transition and Finance

    Kemfert, Claudia | Schäfer, Dorothea | Semmler, Willi

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

    https://doi.org/10.1007/s10272-020-0896-y [Citations: 17]

  10. 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: 0]
  11. 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: 0]

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

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

    Journal of Economic Dynamics and Control, Vol. 131 (2021), Iss. P.104201

    https://doi.org/10.1016/j.jedc.2021.104201 [Citations: 21]

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

    Ferret Mas, Josep

    Res Publica, Vol. (2023), Iss.

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

  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

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