Research
Research Interests : Macroeconomics, Climate Change, European Union, Green Investment, Green policies
Methodology : Panel data econometrics, Event Study, Natural language processing, Spatial econometrics
Thesis : Climate change and European Intervention, Thesis Summary
Published work :
Abstract :
What are the determining factors in the allocation of European Investment Bank (EIB) green Investments? Using data describing more than 17,000 EIB loans to European Union (EU) member states from 1960 to 2020, we first break down EIB loans into green, neutral and brown loans. We then provide evidence that EIB green investments tend to be allocated to the most advanced economies, specifically, that green investment is positively correlated with high GDP per capita and increases with national environmental expenditure. Our findings illustrate the dichotomy between economic development and environmental objectives faced by the EIB.
Work in progress :
The Political Economy of green transition, with Samuel Ligonnière & Jules Ducept , available upon request
Abstract :
The paper examines the factors influencing the allocation of EU green funds to French municipalities, utilizing a previously overlooked database and covering 980 municipalities across two multi-annual financial frameworks (2007-2013; 2014-2020). Firstly, green projects funded by European Cohesion Policy are identified using the European Commission green taxonomy. Secondly, the local determinants of green fund allocation for French municipalities are explored. Both the financial situation and political orientation and contestability within a municipality are found to be significant factors in determining the green use of funds at a local level. Specifically, a positive and significant relationship between political contestability and the green use of European structural funds is observed, highlighting the importance of political opposition in environmental matters.
ECB’s Climate Speeches and Market Reactions, available upon request
Abstract :
This paper study the impact of the European Central Bank’s climate related speeches on European stock markets. Using the database of more than 2.700 speeches of the European Central Bank, we apply natural language processing to identify those related to climate change and analyse their underlying themes. We then conduct an event study to estimate the differences in abnormal returns of a large panel of listed companies in response to the European Central Bank’s speeches on global warming. Our results show that the ECB has been communicating more and more about climate change since 2015, the date of the Paris agreements. Moreover, the event study shows that financial markets tend to reallocate portfolios towards greener ones in the days following the ECB’s green announcements.
Effectiveness of European structural funds on air pollution: a spatial econometrics approach, ongoing
Abstract :
Economic activity leads to emissions of local air pollutants. Governments and private companies can therefore finance investments designed to reduce this pollution. This paper employs a spatial econometric method to empirically test the effects of green investments financed by European structural funds in France over the period 2007-2014 on emissions of the main air pollutants, namely, PM10, PM2.5, S02 using a panel data of 36,000 French communes.