Climate transition: implications for fiscal policies

Lorenzo Forni

Chapter 13 in Fiscal Policy in a Turbulent Era, 2024, pp 199-208 from Edward Elgar Publishing

Abstract: Governments must urgently ramp up their efforts, especially through fiscal policies, to meet emissions targets and mitigate the risks related to climate change. This chapter explores the various fiscal tools available to policymakers for driving the climate transition. A mix of these tools may be necessary to facilitate the transition. Moreover, accepting higher levels of public debt temporarily may help achieve long-term debt sustainability. Despite the many challenges, fiscal policy plays a critical role in supporting the shift to a green economy, and this chapter offer some suggestions for effectively driving the transition.

Keywords: Economics and Finance; Politics and Public Policy (search for similar items in EconPapers)
Date: 2024
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