Climate-Related Financial Stability Risks for the United States: Methods and Applications
The authors review ten broad classes of models that have been used to study potential financial stability risks arising from climate change in the United States. Their lens is primarily methodological: They describe each modeling technique, its advantages and disadvantages, and its key results. They find that statistical methods, based on reduced-form econometrics, are the most used tool, followed by general equilibrium models. While no approach in isolation addresses the complexity of climate-related financial stability risks, they discuss how existing techniques can be combined to inform policymakers and the private sector about climate-related financial stability risks for the United States.
Authors
- Ilknur Zer (ORCID: https://orcid.org/0000-0002-5974-8043)
- Gurubala Kotta
- Chaehee Shin
- Celso Brunetti (ORCID: https://orcid.org/0000-0001-8184-2610)
- Benjamin Dennis (ORCID: https://orcid.org/0000-0002-1062-041X)
- Matteo Crosignani (ORCID: https://orcid.org/0000-0002-3525-3492)
- Donald P. Morgan
Institutions
- Federal Reserve Bank of New York (US)
Publication Details
- Journal
- Economic policy review
- Published
- 2024-10-01
- DOI
- https://doi.org/10.59576/epr.30.1.1-37
- Citations
- 1
- Primary Topic
- Agricultural risk and resilience
- Type
- article
- Field-Weighted Citation Impact
- 0.33