Talking About the Weather: Availabilty, Affect and the Demand for Green Investments
40 Pages Posted: 27 Nov 2019 Last revised: 15 Jan 2020
Date Written: November 20, 2019
We survey investors and establish a link between adverse weather events and beliefs about future climate calamities. By matching the survey to individual registry data, we study how exposure to climate calamities drives people to make “green” choices. These individuals are more likely to say they recycle more than their neighbors, are willing to pay extra for environmentally friendly products, think green investments outperform, and are willing to pay higher fees for green mutual funds. They also trade their retirement portfolios into investments that tout environmental sustainability.
Keywords: Availability, ESG, Sustainability, Retirement Savings
JEL Classification: G11, G28
Suggested Citation: Suggested Citation