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The Indicator from Planet Money

Can the Fed help solve climate change?

The Indicator from Planet Money

NPR

Business

4.79.5K Ratings

🗓️ 27 October 2021

⏱️ 10 minutes

🧾️ Download transcript

Summary

From buying green bonds to monitoring bank lending, some central banks have already created policies to help fight climate change risk. Should the Fed be next?

Transcript

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0:00.0

NPR.

0:03.4

This is the indicator from Plata Money.

0:13.2

I'm Adrian Ma.

0:14.2

And I'm Darym Woods.

0:15.8

And as we speak world leaders and tens of thousands of negotiators are ironing their

0:20.0

shirts and their blouses, they're rehearsing their speeches for the climate talks that start

0:24.9

in Glasgow this Sunday.

0:26.6

This is clearly one of those meetings that couldn't be an email.

0:30.1

That is probably true.

0:31.1

This is where the world comes together to refresh their commitments to reduce carbon emissions

0:35.9

and try to avoid catastrophic climate change.

0:38.7

And here in the US, one unexpected agency is facing a lot of pressure to roll up its

0:43.9

sleeves and help out with climate change, the Federal Reserve.

0:48.0

It's like the student treasurer being asked to fill in for the injured quarterback.

0:52.4

Yeah, exactly.

0:53.7

And one of those people yelling at the Fed to get in the game is Alexandria Ocasio-Cortez.

0:59.8

She and a few other lawmakers, they released a statement saying, Jerome Powell, the Fed

1:04.2

chair, wasn't being the climate change leader they needed.

1:08.0

And that he shouldn't be reappointed.

1:09.8

Ashwards, but there's also peer pressure.

1:12.6

Central banks are on the world as seriously taking climate change into account.

1:16.9

And the question is, will the Fed in the US also take bold climate action?

...

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