If we do not take action now, significant negative effects may become evident or increase 20 or 30 years later. This is called the "tragedy of the horizon. "17 The second issue is whether central bank actions on climate change relate to their mandate.
Opposed to this is the argument that a necessary condition for speculative excesses is abundant liquidity, and that controlling liquidity should be the first line of defence against “irrational exuberance”. 17. Some economists take a more granular position on this, and the argument goes as follows.