Nature degradation and price stability: implications and research questions for monetary policy
Waaifoort, M. & Almeida, E.
(2025).
Nature degradation and price stability: implications and research questions for monetary policy.
London School of Economics and Political Science. Centre for Economic Transition Expertise.
Nature degradation can negatively affect output, investment, employment, consumption and trade, with potential implications for price stability. This policy brief examines how nature degradation affects key macroeconomic indicators, with a focus on deforestation. It argues that central banks should consider the impacts of nature degradation alongside climate-related factors in monetary policy.
