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on Resource Economics |
| By: | Marco Ceccarelli (VU University Amsterdam); Stefano Ramelli (University of St. Gallen - School of Finance; Swiss Finance Institute) |
| Abstract: | We study expectations about the energy transition (climate transition beliefs) as drivers of “green” investment decisions and financial performance expectations. In a preregistered survey of U.S. retail investors (N=1, 007), we document considerable heterogeneity in climate transition beliefs at different horizons. More optimistic climate transition beliefs are associated with higher green expected financial performance and investments, especially for investors without strong pro-environmental preferences. A pre-registered information provision experiment (N=3, 003) provides causal evidence of the role of climate transition optimism in investment behavior. By influencing the availability of capital for green projects, the prevailing narratives and beliefs around the energy transition can have important self fulfilling properties. |
| Keywords: | Behavioral Finance, Climate Change, ESG, Expected returns, Heterogeneous beliefs, Information provision experiment, Survey, Sustainable finance. |
| JEL: | D14 H42 G18 P16 |
| Date: | 2024–03 |
| URL: | http://d.repec.org/n?u=RePEc:chf:rpseri:rp2422&r=res |
| By: | Cristian Concha; Nathaly M. Rivera |
| Abstract: | Despite the extensive evidence linking particulate matter exposure to adverse health effects, a significant portion of the global population, especially in low-income countries, continues to depend on highly polluting fuels like wood-burning for cooking and heating. This study evaluates the immediate effects of wood-burning restrictions, triggered by air quality warnings, on levels of fine and coarse particulate matter in the city of Los Angeles, Chile. Employing a regression discontinuity design, we derive plausible causal estimates indicating that wood-burning restrictions significantly reduce daily concentrations of PM10 and PM2.5 during the most severe air quality warning. A battery of additional estimations supports these findings. However, our empirical analysis suggests that, while effective, wood-burning restrictions may not be sufficient to lower air pollution concentrations to levels deemed safe for health. |
| Date: | 2024–04 |
| URL: | http://d.repec.org/n?u=RePEc:udc:wpaper:wp557&r=res |