The social and environmental challenges in the economy and the environmental goals

Question 1

climate finance

Answer 1

in broad sense it refers to an enterprise that uses financial institutions or technologies to advance the cause of environmental sustainability such as by developing or deploying new solar panels or other renewable energy sources

Question 2

sustainable finance

Answer 2

generally refers to the process of taking due account of environmental and social governance (ESG) when making investment decisions in the financial sector, leads to increased longer-term investments into sustainable economic activities

Question 3

environmental considerations

Answer 3

may refer to climate change mitigation and adaptation

Question 4

social considerations

Answer 4

may refer to issues of inequality and inclusiveness and labour relations

Question 5

responsible investment (RI)

Answer 5

approach to investment that explicitly acknowledges the relevance to the investor of environmental,, social and governance factors and long term heath of market as a whole

Question 6

sustainable investing (SI)

Answer 6

investment approach that considers environmental, social and governance factors in portfolio selection

Question 7

social responsible investing (SRI)

Answer 7

investment strategy that is considered socially responsible because it invests in companies that have ethical practices

Question 8

environmental social and governance (ESG)

Answer 8

refers to the factors that measure the sustainability of an investment

Question 9

The Sustainable Development Goals Report (SDGs) 2024

Answer 9

• according to the report, with 6 years remaining, current progress falls far short of what is required to meet SDGs
• without massive investment and scaled up option the achievement of the SDGs, blueprint for more resilient and prosperous world and the roadmap out of current global crises

Question 10

macroeconomic goals:

Answer 10

• focuses on human wellbeing
• economic growth not sufficient to improve human wellbeing
• changes in the conditions of work, stresses imposed on families and development in the social and financial infrastructure of an economy are often ignored

Question 11

cost of climate change:

Answer 11

• in 21st century between 5% and 20% of global GDP
• most sever effects of climate change could be avoided at a cost of approximately 1% of GDP
• most dangerous impacts of climate change are not likely to occur for several decades or more, the actions taken in the next few decades will almost surely have a profound effect on those ultimate impacts