Feds Brainard tries to square Fed policy with climate change
Fed's Lael Brainard and Mary Davy speak at 1st climate change conference hosted by the Fed
Lael Brainard is trying to square Fed policy with climate change. She says:
- Fed will increasingly need to take climate change into account when setting policy
- climate policy will affect prices, employment, output
- profound climate effects on the economy, financials
- climate change policy uncertainty may holdback investment, economic activity
- Fed will need to assess financial system for climate vulnerabilities
- Fed is in discussion on participation in climate focus global central bankers network
Fed's Mary Davy adds:
- understanding climate change risk is essential to achieving Fed's mission
- climate change is an economic issue we cannot ignore