Governing Long-Tail Liabilities: Institutional Design under Persistent Project Risk

Key Points

• The research aims to explore how institutional mechanisms can effectively manage long-tail liabilities in the context of ongoing environmental and financial risks.
• Analysis of interactions between bonding, corporate structure, and regulatory frameworks over time.
• Case studies on institutions dealing with persistent project risk.
• Identified key interactions between different institutional mechanisms in managing liabilities.
• Proposed a new perspective of liability management as an aspect of institutional design.