ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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Please answer all 5.1,5.2,5.3 in 3000 words and will be according to the given format only in detail .
~~~
ROOM 5 (Question 5): HOW TO FINANCE THE GLOBAL CLIMATE TRANSITION AND THE
SUSTAINABLE DEVELOPMENT GOALS? In the 2021 United Nations Climate Change
Conference in Glasgow, 'COP26', a key discussion involved how to provide the financing
required to permit countries around the world to mitigate and/or adapt to global
warming. The main financing proposal advanced at COP26 was 'blended finance',
proposed by a special expert panel in a 2018 G-20 report. In 'blended finance', the giant
private-sector banks and shadow banks at the heart of the globalized financial system
would provide the credit and capital; and national governments and multilateral
development banks (such as the World Bank and regional development banks) would
'de-risk' these credit and capital commitments. 'Derisking' means guaranteeing to the
6 of 10
Subject to the External Examiner's approval and may be subject to change
private sector that any default risk would be covered by public-sector entitie
governments and development banks. The question in Room 5 is, can t
LUBS5140
7/10
Urk?
5.1. Summarize the key steps in the development and growth of financialization and of
the deregulated global financial system in the past four decades. Was the 'global
financial crisis' that broke out in 2007 and persisted for some years - encompassing the
US, Europe, and countries around the world - a predictable consequence of structural
flaws in this system of financialization, which emerged in a regime of globally mobile
finance; or was it avoidable? (Streeck, Varoufakis, Dymski, Tooze, 2018) (50%)
5.2. What are the key steps needed to make the globalized financial system a reliable
means of financing for the global transition and for the sustainable development goals,
instead of a continuing sink for central-bank support? In your answer, be sure to discuss
whether the flaws in this system of globalized finance been corrected after the great
financial crisis (Tooze (2022), Dymski (2018, 2019))) (30%).
~~~
5.3. In light of your discussion in 5.1 and 5.2, how can the 'blended finance' advocated in
Glasgow be modified so It can work? (If you argue that the idea as proposed requires no
modification, defend that view.) (20%)
expand button
Transcribed Image Text:~~~ ROOM 5 (Question 5): HOW TO FINANCE THE GLOBAL CLIMATE TRANSITION AND THE SUSTAINABLE DEVELOPMENT GOALS? In the 2021 United Nations Climate Change Conference in Glasgow, 'COP26', a key discussion involved how to provide the financing required to permit countries around the world to mitigate and/or adapt to global warming. The main financing proposal advanced at COP26 was 'blended finance', proposed by a special expert panel in a 2018 G-20 report. In 'blended finance', the giant private-sector banks and shadow banks at the heart of the globalized financial system would provide the credit and capital; and national governments and multilateral development banks (such as the World Bank and regional development banks) would 'de-risk' these credit and capital commitments. 'Derisking' means guaranteeing to the 6 of 10 Subject to the External Examiner's approval and may be subject to change private sector that any default risk would be covered by public-sector entitie governments and development banks. The question in Room 5 is, can t LUBS5140 7/10 Urk? 5.1. Summarize the key steps in the development and growth of financialization and of the deregulated global financial system in the past four decades. Was the 'global financial crisis' that broke out in 2007 and persisted for some years - encompassing the US, Europe, and countries around the world - a predictable consequence of structural flaws in this system of financialization, which emerged in a regime of globally mobile finance; or was it avoidable? (Streeck, Varoufakis, Dymski, Tooze, 2018) (50%) 5.2. What are the key steps needed to make the globalized financial system a reliable means of financing for the global transition and for the sustainable development goals, instead of a continuing sink for central-bank support? In your answer, be sure to discuss whether the flaws in this system of globalized finance been corrected after the great financial crisis (Tooze (2022), Dymski (2018, 2019))) (30%). ~~~ 5.3. In light of your discussion in 5.1 and 5.2, how can the 'blended finance' advocated in Glasgow be modified so It can work? (If you argue that the idea as proposed requires no modification, defend that view.) (20%)
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