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1 - Capitalism Meets Multilateralism

Published online by Cambridge University Press:  30 October 2020

By
Paddy Arber  and
Steve Waygood
Edited by
Paul G. Fisher
Paul G. Fisher
Affiliation:
University of Cambridge
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Summary

In this chapter, we examine the reasons behind capital markets’ contribution to an unsustainable future, considering the distinction between market inefficiencies and market failures, and suggest five steps for policymakers and regulators to consider: (i) Establish and strengthen international and national frameworks for sustainable finance, (ii) Ensure a greater share of all public sector financial flows are sustainable, (iii) Shift private sector financial flows by adjusting pricing and other incentives, (iv) Improve market information to make the sustainability risks and rewards of financial assets clearer and (v) Educate people about the connection between their personal finances and sustainability.

Keywords

market inefficiencyclimate changesustainable financecapital marketsdisclosuresfinancial education.
Type
Chapter
Information
Making the Financial System Sustainable , pp. 13 - 25
Publisher: Cambridge University Press
Print publication year: 2020

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References

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