with 7 co-authors
ECB Occasional Paper Series
Stress-testing three transition pathways to net zero, and quantifying the financial risks for Euro-area firms, households and banks. Read abstract
Transition to a carbon-neutral economy is necessary to limit the negative impact of climate change and has
become one of the world’s most urgent priorities. This paper assesses the impact of three potential transition
pathways, differing in the timing and level of ambition of emissions’ reduction, and quantifies the associated
investment needs, economic costs and financial risks for corporates, households and financial institutions in the
euro area.
