Saumitra Jha — Seeing Green: The Effects of Financial Exposures on Support for Climate Action
Climate change is among the most contentious issues of the 21st century. Without a shared understanding of its consequences, securing support for climate policies remains difficult. We hypothesize that exposure to tailored opportunities to trade in financial markets, particularly in energy stocks that are central to the green transition, can induce experiential learning and greater policy support for climate mitigation efforts. We test our hypothesis using a randomized controlled trial. We find that randomly assigned exposure to trade in green and brown energy stocks leads treated individuals to express stronger agreement with the view that climate change is driven by human activity, that it will affect quality of life in the U.S., and that the U.S. government and U.S. companies should do more to reduce emissions. Treated respondents also exhibit a greater tendency to donate to climate causes and factor climate change into personal decisions regarding where to live, work, and invest. These attitudinal changes are particularly pronounced among individuals identifying as Republicans, who are more likely to be skeptical of climate change at baseline. In line with our primary theoretical argument, our findings suggest exposure to financial markets incentivizes learning, which in turn shapes climate-related beliefs, preferences, and behaviors.
ABOUT THE SPEAKER
Saumitra Jha is an associate professor of political economy at Stanford’s Graduate School of Business, and a professor of economics and of political science by courtesy. He is also a senior fellow at the Center for Democracy, Development and Rule of Law, in the Freeman-Spogli Institute, and at the Stanford Institute for Economic Policy Research.
Prior to joining the GSB, Saumitra was an Academy Scholar at Harvard University. He has been a fellow of the Niehaus Center for Globalization and Governance and the Center for the Study of Democratic Politics at Princeton University. He received the Michael Wallerstein Award for best published article in political economy from the American Political Science Association for his research on ethnic tolerance. Saumitra has consulted on economic and political risk issues for the United Nations/ WTO and the World Bank. He holds a BA from Williams College, master’s degrees in economics and mathematics from the University of Cambridge, and a PhD in economics from Stanford University.
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Only those with an active Stanford ID with access to the William J. Perry Conference Room may attend in person.
Saumitra Jha
Along with being a Senior Fellow at the Freeman Spogli Institute for International Studies, Saumitra Jha is an associate professor of political economy at the Stanford Graduate School of Business, and convenes the Stanford Conflict and Polarization Lab.
Jha’s research has been published in leading journals in economics and political science, including Econometrica, the Quarterly Journal of Economics, the American Political Science Review and the Journal of Development Economics, and he serves on a number of editorial boards. His research on ethnic tolerance has been recognized with the Michael Wallerstein Award for best published article in Political Economy from the American Political Science Association in 2014 and his co-authored research on heroes with the Oliver Williamson Award for best paper by the Society for Institutional and Organizational Economics in 2020. Jha was honored to receive the Teacher of the Year Award, voted by the students of the Stanford MSx Program in 2020.
Saum holds a BA from Williams College, master’s degrees in economics and mathematics from the University of Cambridge, and a PhD in economics from Stanford University. Prior to rejoining Stanford as a faculty member, he was an Academy Scholar at Harvard University. He has been a fellow of the Niehaus Center for Globalization and Governance and the Center for the Study of Democratic Politics at Princeton University, and at the Center for Advanced Study in the Behavioral Sciences at Stanford. Jha has consulted on economic and political risk issues for the United Nations/WTO, the World Bank, government agencies, and for private firms.
FSI researchers strive to understand how countries relate to one another, and what policies are needed to achieve global stability and prosperity. International relations experts focus on the challenging U.S.-Russian relationship, the alliance between the U.S. and Japan and the limitations of America’s counterinsurgency strategy in Afghanistan.