Semmler, WilliBraga, Joao PauloLichtenberger, AndreasToure, MariemeHayde, Erin2021-06-222021-06-222021-06https://hdl.handle.net/10986/35795The report Fiscal policies for a low-carbon economy makes an important contribution to our understanding of which fiscal policies work best and can be a guide to policy makers as they consider the most effective ways to achieve a low-carbon future. The report finds clear evidence that green bonds can support carbon taxation by acting as a bridge financing instrument, smoothing the path toward a low-carbon transition and overcoming financial market practitioners’ and governments’ short-termism. These findings are particularly timely as governments worldwide are looking for ways to recover and rebuild from the devastating impacts of Coronavirus (COVID-19). Making the right investments now through stimulus and recovery programs can lay the foundation for a sustainable, inclusive, and resilient recovery.CC BY 3.0 IGOCARBON POLICYCARBON PRICINGCLIMATE CHANGE MITIGATIONCARBON TAXGREEN BONDSFISCAL POLICYCLIMATE MODELSGREEN INVESTMENTBUSINESS CYCLEASSET RETURN VOLATILITYOIL PRICE FLUCTUATIONReportWorld Bank10.1596/35795