Carbon Pricing versus Green Finance

• 成果类型: Article
• 署名作者: Pedersen, Lasse Heje
• 署名单位: Copenhagen Business School; Centre for Economic Policy Research - UK
• 刊物名称: JOURNAL OF FINANCE
• ISSN/ISSBN: 0022-1082; 1540-6261
• DOI: 10.1111/jofi.70022
• 发表日期: 2026-04
• 页码: 561-602
• 关键词: Taxes

摘要

Green finance-including environmental, social, and governance investing and sustainable finance regulations-is widespread, but can it substitute for carbon pricing in fighting climate change? In a unified model, I show that (i) when carbon prices reflect the social cost of carbon, green finance should not be used; (ii) when carbon prices are too low, green finance can implement the social optimum if each firm's cost of capital can be set to its sustainable discount rate, which increases with the ratio of carbon emissions to firm value. I provide calibrations, analyze stranded assets, and present implementations through subsidies or preferential financing for green firms.