Report E3G (Third Generation Environmentalism)

Climate Change as a Macroeconomic Risk Multiplier

This analysis reports how climate change acts as a macroeconomic risk multiplier—exacerbating inflation, supply-chain stress, asset re-pricing, sovereign risk, and financial fragility. It argues that businesses and regulators must treat climate as a cross-cutting systemic issue, not simply an environmental add-on, because the economic implications span sectors, geographies and time horizons.

Notes on Related Topics

Systemic Risk (A) – The report emphasises how climate impacts ripple through economies, financial systems and firms, reinforcing that businesses must engage beyond immediate operations. 

Operating Risks (A) – It highlights how businesses face direct operational and strategic risk from macro-climate stress including supply chains and asset values.

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VideoUnite America

Tells the story of Alaska’s landmark adoption of open primaries and ranked-choice voting, showing how these reforms empowered broader voter participation, curbed partisan gatekeeping, and led to more representative, cross-partisan governance—offering a powerful blueprint for restoring trust in democracy. Includes an analysis of the impacts of current election processes and rules -- such as closed primaries, uncontested seats, and winner-take-all elections -- as well as the arguments against the reforms adopted in Alaska.

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ArticleMedium

This piece argues that capitalism’s existing rules often deepen inequality and systemic risks, but by changing those rules to focus on upfront redistribution of wealth, power, and opportunity—a “predistribution” approach—inequality can be meaningfully reduced. It urges institutional investors to lead reforms that reshape capitalism for a fairer, more resilient economy instead of reacting only after crises occur.

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As investors increasingly focus on systemic risks, few risks are as consequential as the weakening of democratic institutions and the rule of law -- or today’s once-in-a-generation operational and strategic challenges from AI, an increasingly chaotic political environment, and more.  Yet, as an investor, it can be difficult to translate these systemic risks into concrete actions. Focusing on public affairs governance – how companies make decisions about whether and when to engage in the public sphere, can be one helpful lens.

This new tool from Third Side Strategies helps investors to ask sharper questions—of companies and of themselves. It introduces the concept of CPR Governance (a set of best practices for whether and when to engage in the public sphere) which helps investors in two ways: (i) prompting companies to think more concretely about their public affairs practices and strengthen any areas of weakness highlighted by the questions, and (ii) providing investors the information needed to more effectively manage this systemic risk across their portfolio.

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This playbook sets out practical guidance for companies on how to optimise their indirect “policy footprint”. It covers how to assess and improve associations' alignment and impact, by clarifying their strategic policy priorities, evaluating where to invest in important trade association relationships, and engaging those associations constructively and effectively. 

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ReportBrennan Center for Justice

This series offers a retrospective on how rising political spending—especially via dark money and super PACs—is shaping public perceptions, fueling polarization, and undermining trust. It highlights record-breaking ad spending across TV and digital platforms and calls for stronger disclosure and enforcement to protect democratic integrity.

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ArticleAxios

A Yale School of Management survey of CEOs reveals widespread private concern that Trump administration policies—from tariffs to monetary and health regulation—are harming business interests and may violate the law. Yet most executives remain publicly silent, fearing retaliation. The episode underscores corporate vulnerability to political retribution and the importance of principled, transparent corporate voice in safeguarding democratic norms and market stability. 

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The Recommendation on Transparency and Integrity in Lobbying and Influence provides concrete guidance for governments in ensuring lobbying and influence activities support effective public decision-making while limiting the risks of undue influence, and it provides a framework to support businesses and other influence actors in conducting their lobbying and influence activities in a responsible manner. 

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Tool#unifyUSA and Living Room Conversations

This guide offers conversation practices and norms that help people move beyond political echo chambers, enabling genuine learning, mutual understanding, and connection across divides.

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ToolWe Mean Business Coalition

This framework assists companies in reporting both direct and indirect climate policy engagements aligning advocacy with science-based targets and the Paris Agreement. It provides a structured format for reporting to stakeholders—like investors, NGOs, and regulators—clarifying the company’s role in influencing climate policy and improving accountability. 

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ArticlePew Research Center

This Pew Research report highlights inflation, healthcare affordability, and the federal budget deficit as top economic concerns shaping public grievances and trust in business, with money in politics emerging as a critical related issue undermining confidence in institutions.

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ReportUniversity of Pennsylvania

Urges corporate leaders to stay the course on climate action, integrating sustainability into core governance and fiduciary duties. Strine offers a critique of anti-ESG backlash as inconsistent with capitalism and argues that long-term climate leadership protects workers, investors, and the economy.

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ReportGlobescan

This report uses the UN SDGs to assess U.S. sustainability progress, highlighting where the country is falling short—especially on inequality, climate, and declining trust in institutions. It emphasizes that public expectations are rising, and urges businesses to align with enduring values and evolving customer priorities through transparency, collaboration, and long-term strategy.

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This paper shows how applying fiduciary duty to investors can bridge the gap to common-sense climate action by helping overcome the collective action problem that often slows climate-aligned investment. By recognizing climate and nature risks as financially material, investors can shift from passive market participants to active actors in the clean economy transition, reducing systemic risks and aligning portfolios with long-term climate goals

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ArticleThe Shareholder Commons

This piece explains “system stewardship,” where investors consider how company actions affect the broader economy and long-term market health. It emphasizes that this approach is not political but financial, highlighting reports showing that climate change and diversity can create systemic risks that investors should address to protect returns.

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Housed in Duke’s Fuqua School of Business, is an initiative to explore the role business can play to reduce polarization and improve civic dialogue. Their website offers research and data on dialogue and engagement, showcases corporate initiatives that build common purpose, features news and business leaders’ perspectives, and hosts events to equip current and future leaders to navigate polarization and foster constructive conversations.

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WebsiteCenter for Collaborative Democracy

The Grand Bargain Project finds that Americans across party lines identify the same six priorities—economic opportunity, education, healthcare, national debt, clean energy, and tax reform—as critical, with surveys showing over 90% agreement on their importance. Even more encouraging, when comparing the status quo to a shared package of 35 reforms, 77% preferred the reforms. These results point to rare cross-partisan convergence on both the problems and potential solutions, and a possible place for constructive engagement. 

 

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ReportIpsos Knowledge Center

Based on interviews with more than 23,000 citizens across 31 countries, Ipsos finds persistent public distrust in elites, globalization, and economic systems—driving polarization across both advanced and emerging economies. These trends underscore the need for companies to account for public sentiment and political division when shaping public affairs strategies and stakeholder engagement, especially in regions where legitimacy and trust are increasingly strained.

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ArticleFiveThirtyEight

Data analysis shows that voters labeled as moderates, independents, or undecided hold diverse and often conflicting views, undermining the idea of a unified “moderate middle” in today’s polarized political landscape.

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WebsiteLaboratory for the American Conversation - Oregon State University Cascades

This continuing education online course by The Laboratory for the American Conversation is designed to help you understand how to have contentious conversations that don't escalate into the culture wars that have become all too common. You can apply this in your workplace and with family and friends. 

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ReportAllstate

Allstate’s 2025 research finds that trust in America is at a tipping point. While only 41% of Americans trust people across the U.S., the majority remain optimistic about their communities. The report emphasizes that rebuilding trust starts locally through engagement, leadership, and connection, and offers a three-part strategy: fostering interpersonal trust, investing in community leadership, and scaling trust-building efforts to strengthen democracy and economic resilience

 

 

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