Question 2: Would you support changing the ECB’s mandate to incorporate the EU’s target of carbon neutrality by 2050, if such a change is deemed legally necessary to adopt your preferred approach?
Answer:
No
Confidence level:
Confident
Comment:
Like with the dual mandate (inflation and full employment) it would have to be made very clear that the primary objective of monetary policy is price stability and that placing weights on other variables cannot be inconsistent with achieving the primary objective. As would be the case with the dual mandate it will be critical to clearly delineate what the ECB can and cannot do to help out with climate-change issues.
Question 1: Which of the following actions is the most advisable approach for European Central Bank to address the environmental impact of its bond-purchasing policies?
Answer:
Aiming for market neutrality
Confidence level:
Confident
Comment:
I would rather they focus on implementing a dual mandate. That would be a much easier objective to achieve. They would just need to look at the experiences of other countries and focus on implementing best practices. Start by looking at the United States, New Zealand, Czech Republic, Chile, etc.
About the CFM Surveys
The CFM surveys informs the public about the views held by prominent economists based in Europe on important macroeconomic and public policy questions. Some surveys focus specifically on the UK economy (as the CFM is a UK research centre), but surveys can in principle focus on any macroeconomic question for any region. The surveys shed light on the extent to which there is agreement or disagreement among these experts. An important motivation for the survey is to give a more comprehensive overview of the beliefs held by economists and in particular to include the views of those economists whose opinions are not frequently heard in public debates.
Questions mainly focus on macroeconomic and public policy topics. Although there are some questions that focus specifically on the UK economy, the setup of the survey is much broader and considers questions related to other countries/regions and also considers questions not tied to a specific economy.
The surveys are done in collaboration with the Centre for Economic Policy Research (CEPR).
The ECB’s Green Agenda
Question 2: Would you support changing the ECB’s mandate to incorporate the EU’s target of carbon neutrality by 2050, if such a change is deemed legally necessary to adopt your preferred approach?
Question 1: Which of the following actions is the most advisable approach for European Central Bank to address the environmental impact of its bond-purchasing policies?