(NewsReady.com) – The US is in the midst of an economic downturn as a result of the COVID-19 lockdowns. Instead of trying to find ways to help pull the country out of its financial problems, the Federal Reserve is going to start focusing on another issue: climate change.
On March 23, Lael Brainard, who sits on the Federal Reserve’s Board of Governors, announced the Fed created a committee to address climate change. The Financial Stability Climate Committee will try to address the way climate change could impact the financial system. They will determine how climate shocks might “harm households, businesses, and communities.”
Speech by Governor Brainard on financial stability implications of climate change: https://t.co/2JOggAvKRI
— Federal Reserve (@federalreserve) March 23, 2021
Republican lawmakers believe the issue is outside of the Fed’s purview. Rep. Andy Barr (R-KY) has said he doesn’t believe financial regulators should be involved in climate policy at all, and thinks the Biden administration is trying to put stress on the fossil fuel industry.
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