Corporate governance and climate change risks. A game-theoretic approach
View/
Keywords
Corporate governance ; Climate change ; Game-theory ; Institutional investorsAbstract
The world needs to acknowledge climate change as a threat and take the necessary steps to reduce its consequences, or else humankind will confront a wide range of problems from many different angles. The governments, in particular, have already acknowledged how crucial it is for the financial system to finally become sustainable and how shifting to a low-carbon, environmentally friendly economy may facilitate this transformation. In fact, it is of a paramount importance that the financial system in the future be in line with the Sustainable Development Goals. The objective of this master's thesis is to determine the corporate governance and climate change risks. The emphasis on the financial system and international cooperation in establishing the sustainability of the global economy is still another objective of this thesis. This thesis has examined numerous studies about the corporate governance of companies around the globe in conjunction with the climate change circumstances. The biggest question is based on the board members’ decisions in the future that may influence not only financial stability but also affect people prosperity.