Regulation of eco-finance transactions.
详细信息
文摘
Anthropogenic climate change is rapidly becoming one of the most pressing and troublesome sources for systemic risk in the global economy. Both adaptation and mitigation of climate change entail massive employment of sophisticated financial technology. From adaptation perspective, the potential impacts of climate change on developed and especially developing economies necessitate the employment of weather derivatives and catastrophe bonds to transfer various climatic risks to those in the capital markets who could bear them most economically. From mitigation perspective, securitization technology could improve, both in terms of quality and quantity, the origination levels associated with the Kyoto Protocol's project finance- based compliance mechanisms. Moreover, from compliance standpoint, participants in nascent and rapidly evolving "carbon markets" are increasingly exposed to exceptionally high and enduring price volatility of newly created regulatory-based commodities that could be mitigated via commodity derivatives. However, financial technology is facing increased skepticism and uncertain future in the wake of the recent financial meltdown. This dissertation delves into the inherent tension between the need to rely on financial technology in the battle against climate change and the need to avoid the dynamics that led to the recent financial debacle.