Quarterly Bulletin - 2022 Q4

This Quarterly Bulletin focuses on how the response of governments to climate change will affect the macroeconomy, both over shorter horizons and the longer term.
Published on 21 October 2022

Topical articles

Climate change: possible macroeconomic implications

Since it influences key economic variables such as output and inflation, climate change matters for monetary policymakers such as the Monetary Policy Committee. While monetary policy cannot be expected to solve climate change, monetary policy makers need to monitor and understand its macroeconomic implications in order to achieve their inflation target.

This article explores the macroeconomic effects of physical impacts from climate change (such as extreme weather) and the transition to a net-zero economy (such as through less carbon intensive investment), with a particular focus on the UK economy.

Climate change: possible macroeconomic implications

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