What does this research mean for the field?

The transition to a 'green' economy drives inflation in the US primarily through the 'green' credit channel, followed by the mechanism of fiscal spending on renewables. Novelty: ClaimNovelty.NOVEL_FINDING. Consensus alignment: ConsensusAlignment.NEUTRAL.

What question did this study set out to answer?

To investigate the macroeconomic and banking transmission channels through which the green transition influences overall and core inflation in the United States.

September 10, 2026Studies in Economics and Finance

“Greeninflation”: evidence on the channels of transition

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Authors

NANicholas Apergis AAAhmet Aysan

Discussion

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Overview

Econometric analysis reveals that green credit and fiscal spending significantly drive inflation in the United States, indicating financial mechanisms dominate green transition price pressures.

Key Points

To investigate the macroeconomic and banking transmission channels through which the green transition influences overall and core inflation in the United States.
Analyzed United States macroeconomic and financial time-series data spanning 1990 to 2023.
Employed two-stage least squares (2SLS) regressions alongside causality tests across the full sample and sub-periods to evaluate structural shifts.
Confirmed that both green fiscal spending on renewables and green credit significantly influence overall and core inflation rates.
Identified the green credit channel as exerting the strongest impact on inflation, followed by the fiscal spending mechanism.

Cite This Study

Apergis et al. (2026) studied this question.

synapsesocial.com/papers/6aa27ab158559d80afc736e1 https://doi.org/10.1108/sef-03-2026-0303

View Full Paper

Ask AI

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September 10, 2026Studies in Economics and Finance

“Greeninflation”: evidence on the channels of transition

View Full Paper

Ask AI

Bookmark

Authors

NANicholas Apergis AAAhmet Aysan

Discussion

Member takes

Overview

Econometric analysis reveals that green credit and fiscal spending significantly drive inflation in the United States, indicating financial mechanisms dominate green transition price pressures.

Key Points

To investigate the macroeconomic and banking transmission channels through which the green transition influences overall and core inflation in the United States.
Analyzed United States macroeconomic and financial time-series data spanning 1990 to 2023.
Employed two-stage least squares (2SLS) regressions alongside causality tests across the full sample and sub-periods to evaluate structural shifts.
Confirmed that both green fiscal spending on renewables and green credit significantly influence overall and core inflation rates.
Identified the green credit channel as exerting the strongest impact on inflation, followed by the fiscal spending mechanism.

Cite This Study

Apergis et al. (2026) studied this question.

synapsesocial.com/papers/6aa27ab158559d80afc736e1 https://doi.org/10.1108/sef-03-2026-0303

View Full Paper

Ask AI

Bookmark