Central banking for a social-ecological transformation

Louison Cahen-Fourot

Chapter 9 in The Future of Central Banking, 2022, pp 195-218 from Edward Elgar Publishing

Abstract: In the perspective of a social-ecological transformation, this chapter sets the discussion on the future of central banking back in the context of ecological limits to growth. It first surveys the literature on proposals to introduce sustainability in central banking. It then draws from the conceptualization of money as a social relation to discuss central banks' mandates, independence, governance and instruments. This chapter therefore adopts a normative stance. Central banks should be politically accountable with a renewed governance and committees' composition. In line with the endogenous nature of money, their mandate needs not to include price stability and should focus on fostering full employment, social cohesion and relevant economic development within the ecological limits of the planet. Three policy instruments are then discussed to shift the nature of central banks' operations from responsive to prescriptive: differentiated target interest rates, credit control and qualitative tightening in assets purchasing programs.

Keywords: Economics and Finance (search for similar items in EconPapers)
Date: 2022
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.elgaronline.com/view/edcoll/9781839100932/9781839100932.00020.xml (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found

Related works:
Working Paper: Central banking for a social-ecological transformation (2021)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:elg:eechap:19461_9

Ordering information: This item can be ordered from
http://www.e-elgar.com
sales@e-elgar.co.uk

Access Statistics for this chapter

More chapters in Chapters from Edward Elgar Publishing
Bibliographic data for series maintained by Darrel McCalla (darrel@e-elgar.co.uk).