Green Finance: Theoretical Foundation

Shikuan Zhao () and Kashif ur Rehman ()
Additional contact information
Shikuan Zhao: Chongqing University
Kashif ur Rehman: Barani Institute of Knowledge Administration and Technology

Chapter Chapter 1 in The Palgrave Handbook of Green Finance for Sustainable Development, 2024, pp 3-17 from Palgrave Macmillan

Abstract: Abstract Resource and environmental issues have become significant impediments to global economic development and human well-being. Green finance represents a novel approach in environmental management and marks a significant innovation and transformation in the financial sector. This manuscript delves deeply into the theoretical foundations of green finance, tracing its origins and development over decades. The concept of green finance can be traced back to Marx’s Das Kapital. In recent years, green finance has evolved under the influence of theories such as classical environmental economics, sustainable development theory, behavioral finance, and climate finance. These theories explore how financial mechanisms can support environmental protection and sustainable development, emphasizing the internalization of environmental costs, the integration of ecological, social, and economic growth, and the alignment of financial practices with climate change objectives. As green finance continues to mature, future research should focus on refining these theories to address practical implementation challenges and enhance their integration, providing more comprehensive solutions for green finance and sustainable development.

Keywords: Green Finance; Theoretical Origin; Theoretical Foundation; Theoretical Development; Sustainable Development (search for similar items in EconPapers)
Date: 2024
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
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:pal:psifcp:978-3-031-65756-6_1

Ordering information: This item can be ordered from
http://www.palgrave.com/9783031657566

DOI: 10.1007/978-3-031-65756-6_1

Access Statistics for this chapter

More chapters in Palgrave Studies in Impact Finance from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().